Chapter 6 Flashcards Preview

ECONOMICS Mid-Term '15 > Chapter 6 > Flashcards

Flashcards in Chapter 6 Deck (12):
0

The point at which quantity demanded and quantity supplied are equal

Equilibrium

1

Describes any price or quantity not at equilibrium

Disequilibrium

2

When quantity demanded is more than quantity supplied

Excess Demand

3

When quantity supplied is more than quantity demanded

Excess Supply

4

A maximum price that can be legally charged for a good or service

Price Ceiling

5

A price ceiling placed on rent

Rent Control

6

A minimum price that an employer can pay a worker for an hour of labor

Minimum Wage

7

Situation in which quantity supplied is greater than quantity demanded; also known as excess supply

Surplus

8

The financial and opportunity costs consumers pay when searching for a good or service

Search Costs

9

A sudden shortage of a good

Supply Shock

10

A system of allocating scarce goods and services using criteria other than price

Rationing

11

A market in which goods are sold illegally

Black Market