PRINCIPLES OF ECONOMICS A STREAMLINED
APPROACH LEARNING WORKBOOK 2026
SUPPLY DEMAND AND MARKET STRUCTURES
◉ Competitive Market. Answer: A market in which there are many
buyers and many sellers so that each has a negligible impact on the
market price
◉ Quantity Demanded. Answer: The amount of a good that buyers
are willing and able to purchase
◉ Law of Demand. Answer: The claim that, other things being equal,
the quantity demanded of a good falls when the price of the good
rises
◉ Demand Schedule. Answer: A table that shows the relationship
between the price of a good and the quantity demanded
◉ Demand Curve. Answer: A graph of the relationship between the
price of a good and the quantity demanded
◉ Normal Good. Answer: A good for which, other things being equal,
an increase in income leads to an increase in demand
,◉ Inferior Good. Answer: A good for which, other things being equal,
an increase in income leads to a decrease in demand
◉ Substitutes. Answer: Two goods for which an increase in the price
of one leads to an increase in the demand for the other
◉ Complements. Answer: Two goods for which an increase in the
price of one leads to a decrease in the demand for the other
◉ Quantity Supplied. Answer: The amount of a good that sellers are
willing and able to sell
◉ Law of Supply. Answer: The claim that, other things being equal,
the quantity supplied of a good rises when the price of the good
rises
◉ Supply Schedule. Answer: A table that shows the relationship
between the price of a good and the quantity supplied
◉ Supply Curve. Answer: A graph of the relationship between the
price of a good and the quantity supplied
, ◉ Equilibrium. Answer: A situation in which the market price has
reached the level at which quantity supplied equals quantity
demanded
◉ Equilibrium Price. Answer: The price that balances quantity
supplied and quantity demanded
◉ Equilibrium Quantity. Answer: The quantity supplied and the
quantity demanded at the equilibrium price
◉ Surplus. Answer: A situation in which quantity supplied is greater
than quantity demanded
◉ Shortage. Answer: A situation in which quantity demanded is
greater than quantity supplied
◉ Law of Supply and Demand. Answer: The claim that the price of
any good adjusts to bring the quantity supplied and the quantity
demanded for that good into balance
◉ Supply. Answer: represents the amount of goods a market can
provide
APPROACH LEARNING WORKBOOK 2026
SUPPLY DEMAND AND MARKET STRUCTURES
◉ Competitive Market. Answer: A market in which there are many
buyers and many sellers so that each has a negligible impact on the
market price
◉ Quantity Demanded. Answer: The amount of a good that buyers
are willing and able to purchase
◉ Law of Demand. Answer: The claim that, other things being equal,
the quantity demanded of a good falls when the price of the good
rises
◉ Demand Schedule. Answer: A table that shows the relationship
between the price of a good and the quantity demanded
◉ Demand Curve. Answer: A graph of the relationship between the
price of a good and the quantity demanded
◉ Normal Good. Answer: A good for which, other things being equal,
an increase in income leads to an increase in demand
,◉ Inferior Good. Answer: A good for which, other things being equal,
an increase in income leads to a decrease in demand
◉ Substitutes. Answer: Two goods for which an increase in the price
of one leads to an increase in the demand for the other
◉ Complements. Answer: Two goods for which an increase in the
price of one leads to a decrease in the demand for the other
◉ Quantity Supplied. Answer: The amount of a good that sellers are
willing and able to sell
◉ Law of Supply. Answer: The claim that, other things being equal,
the quantity supplied of a good rises when the price of the good
rises
◉ Supply Schedule. Answer: A table that shows the relationship
between the price of a good and the quantity supplied
◉ Supply Curve. Answer: A graph of the relationship between the
price of a good and the quantity supplied
, ◉ Equilibrium. Answer: A situation in which the market price has
reached the level at which quantity supplied equals quantity
demanded
◉ Equilibrium Price. Answer: The price that balances quantity
supplied and quantity demanded
◉ Equilibrium Quantity. Answer: The quantity supplied and the
quantity demanded at the equilibrium price
◉ Surplus. Answer: A situation in which quantity supplied is greater
than quantity demanded
◉ Shortage. Answer: A situation in which quantity demanded is
greater than quantity supplied
◉ Law of Supply and Demand. Answer: The claim that the price of
any good adjusts to bring the quantity supplied and the quantity
demanded for that good into balance
◉ Supply. Answer: represents the amount of goods a market can
provide
