Download Chapter 21 Worksheet

Chapter 21 Worksheet
Section 1
1. What do we call the desire, willingness, and the ability to buy an item?
2. What is a demand schedule?
3. What is a graph that shows the amount of a product that will be bought at various
prices?
4. What refers to the concept that our satisfaction decreases as we consume additional
items?
5. What term refers to the satisfaction of an item?
6. Which way do demand curves normally slope? Why?
Section 2
7. List at least three factors that may change market demand.
8. What are compliments?
9. What does a shift to the left of the demand curve indicate?
10. What happens to a persons demand for an item if their income increases?
11. What is demand elasticity?
12. What term refers to competing products?
Section 3
13. What is supply?
14.
15.
16.
17.
What is the primary motive for a business?
Which direction do government policies normally cause supply to shift?
Which direction does a supply curve slope?
Which direction does the supply curve shift if it increases?
Section 4
18. What forms the basis of economic decisions for us?
19. What is a maximum price set by the government called?
20. What is a price floor?
21. What is a surplus? What will happen to price?
22. What is the balance between supply and demand called?
23. What occurs when demand is greater than supply? What will happen to price?