Changes in Supply and Demand
Read this article to learn more about how changes in supply and demand affect the market price equilibrium. Make sure to answer the "Try It" questions.
Glossary
demand:
the relationship between the price and the quantity demanded of a certain good or service
quantity demanded:
the total number of units of a good or service consumers are willing to purchase at a given price
quantity supplied:
the total number of units of a good or service producers are willing to sell at a given price
shift in demand:
when a change in some economic factor (other than price) causes a different quantity to be demanded at every price
shift in supply:
when a change in some economic factor (other than price) causes a different quantity to be supplied at every price