This document summarizes key concepts related to supply and demand. It defines markets, demand, the law of demand, demand curves, and factors that can shift the demand curve. It also defines supply, the law of supply, supply curves, and factors that can shift the supply curve. Finally, it discusses equilibrium, where supply and demand are equal, as well as shortages and surpluses when supply and demand are not equal.

1. Chapters 4-6 Supply and Demand

5. Demand Curve – a graphic representation of the law of demand Quantity is graphed on the x-axis and price is on the y-axis The demand curve has an inverse slope, sloping downward from left to right

7. Shifts in the demand curve

16. Supply Curve The supply curve has a direct slope, as one variable increase so does the other The supply curve slopes upward from left to right

18. Shifts in the supply curve

28. Equilibrium Point / Market Clearing Price

30. Shortage and Surplus Graphically