How The Market Works
Across
- 1. the quantity buyers are willing and able to buy at a buy at a given price in a given period of time
- 4. the point at which supply and demand meet
- 5. when more is produced than is required
- 10. the government sector of the economy
- 12. the quantity demanded changes at a lesser rate than price
- 14. the quantity supplied changes at a greater rate than price
- 16. where extraction of raw material takes place
- 19. the next best alternative forgone when making a choice
- 21. a pay floor introduced by the government
- 22. a payment given to a firm, usually by the government
- 23. a useful mnemonic for demand
Down
- 2. a tax placed on a good or service which is a percentage of the price
- 3. something essential to survive
- 6. the process of combining scarce resources to make an output
- 7. where all resources are allocated by private individuals and groups
- 8. as a firm grows large, the long-run average costs fall
- 9. price x quantity sold
- 11. a market situation in which there are a large number of buyers and sellers
- 13. this occurs when two firms agree to come together through either a merger or a takeover
- 15. goods for which demand falls when income rises
- 17. output per worker per period of time
- 18. when a firm has more than 25% of the market share
- 20. costs that do not vary with output