Introduction to Economics

A set of vocabulary flashcards covering key economic concepts discussed in the lecture notes.

Perfectly Competitive Markets

Markets where the goods sold are identical and no single buyer or seller can influence market prices.

Quantity Demanded

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

Quantity Supplied

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

Equilibrium

The price at which quantity demanded equals quantity supplied in a market.

Price Floor

A minimum price set by the government that must be paid for a good or service.

Price Ceiling

A maximum price set by the government that can be charged for a good or service.

Demand Curve

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

Supply Curve

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

Market Price

The price at which transactions occur in a market.

Willingness to Pay

The maximum amount an individual is willing to spend on a good.