Price Formation (Grade 10 NSC Matric Economics): Quizzes
📚Quizzes
Practise the questions
10 questions from this quiz
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Practise the questions
10 questions from this quiz
What is the balance point where supply and demand meet called?
What is the balance point where supply and demand meet called?
Equilibrium point
What two pieces of information does the equilibrium point provide?
What two pieces of information does the equilibrium point provide?
Equilibrium price and quantity
When does a market reach equilibrium?
When does a market reach equilibrium?
When demand equals supply
Which direction does the supply curve slope?
Which direction does the supply curve slope?
Upward
Which direction does the demand curve slope?
Which direction does the demand curve slope?
Downward
What is created when price rises above the equilibrium price?
What is created when price rises above the equilibrium price?
A surplus
What is created when price falls below the equilibrium price?
What is created when price falls below the equilibrium price?
A shortage
What is the market's built-in correction system called?
What is the market's built-in correction system called?
Price mechanism
What happens to prices when there is a surplus in the market?
What happens to prices when there is a surplus in the market?
Prices drop until balance restored
What happens to prices when there is a shortage in the market?
What happens to prices when there is a shortage in the market?
Prices rise until balance restored