Changes in Market Equilibrium

Supply Curve

A graphical representation of the relationship between the price of a good and the quantity supplied.

Demand Curve

A graphical representation of the relationship between the price of a good and the quantity demanded.

Equilibrium Price

The price at which the quantity of a good demanded by consumers equals the quantity supplied by producers.

Quantity Supplied

The total amount of a good that producers are willing and able to sell at a given price.

Quantity Demanded

The total amount of a good that consumers are willing and able to purchase at a given price.

Shift Right (Supply/Demand)

Occurs when there is an increase in supply or demand, resulting in a higher quantity available at each price.

Shift Left (Supply/Demand)

Occurs when there is a decrease in supply or demand, resulting in a lower quantity available at each price.

Impact of Disease-Resistant Apples

Leads to an increase in supply as growers can produce more apples with fewer losses.

Impact of Apple Health Benefits

Increases demand for apples as consumers seek out products that prevent health issues.

Effects of Advertising Campaign

Can decrease demand for one product while increasing demand for a substitute product.

Labor Cost Increase

An increase in wages paid to workers, leading to a decrease in supply as production costs rise.