Edexcel Economics 2. Supply and Price

Description

Term

From which side of the commodity market does volatility arise?

The difference between the price people are willing to pay for a product and the market price

A situation in which a borrower owes more on a loan than the value of the asset that guarantees the loan such as that owed on a mortgage after a fall in house prices

An organisation that brings together factors of production in order to produce output

What has a coefficient of infinity?

What is shown by the following calculation: (%∆QS)/(%∆P)?

A natural resource that must be mined or extracted

An increase in supply coupled with an increase in price

A decrease in supply coupled with a decrease in price

Where there is a surplus supply relative to demand as a result of a price above equilibrium

Description

Term

A homogeneous product such as raw materials that are traded in bulk on global markets

A sudden event which temporarily increases or decreases demand for a good or service

What is the price elasticity of supply of the agricultural market?

A sudden event which temporarily increases or decreases the supply of a good or service

A table showing variance in supply with changes in price

A situation in which prices fluctuate wildly over a short period of time

When a percentage change in price causes no change in the quantity supplied

What is shown on a supply curve as the area above the supply curve and below the market price?

The amalgamation of a single block of shares in a public limited company bought on and for the purpose of future sale on the stock market

The degree of responsiveness of supply to changes in price