Concept #1: Demand Shifts
Concept #2: Supply Shifts
Practice: If the economy booms and incomes rise, what happens in the markets for inferior goods?
Practice: A change in which of the following will NOT shift the demand curve for ice cream?
Practice: A decrease in _________ will cause a movement along a given supply curve, which is called a change in __________.
Practice: Gum and mints are substitutes. If the price of gum increases, what happens in the market for mints?
Practice: Which of the following situations would lead to an increase in the equilibrium price of carrots and a decrease in the equilibrium quantity of carrots sold?
Practice: The discovery of a new fertilizer will shift the ___________ curve for carrots, leading to a ___________ equilibrium price.