Equilibrium Price

Cards (11)

Equilibrium Price 
The price at which the quantity supplied equals the quantity demanded.
Demand Curve 
A graph showing the relationship between price and quantity demanded, with quantity demanded decreasing as price increases.
Supply Curve 
A graph showing the relationship between price and quantity supplied, with quantity supplied increasing as price increases.
Equilibrium Quantity 
The quantity of a good or service at which the quantity supplied equals the quantity demanded.
Shift in Demand Curve
A change in demand that causes the demand curve to move left or right.
Shift in Supply Curve
A change in supply that causes the supply curve to move left or right.
Substitutes 
Goods that are used in place of each other, such as coffee and tea.
Complements 
Goods that are used together, such as coffee and cream.
Producer's Revenue 
The total amount of money a firm receives from selling its product or service.
Price x Quantity 
The formula for calculating producer's revenue.
Total Revenue (TR) Curve
A straight line that rises from the origin to the point where quantity sold is equal to the maximum supply.