About This Chapter
Market Equilibrium, Supply & Demand - Chapter Summary
This online chapter offers an in-depth exploration of market equilibrium, supply and demand concepts. Engaging videos developed by expert instructors closely examine the market demand schedule, supply curves, demand curves, equilibrium and more. Get the knowledge you need without setting foot in a traditional classroom! By the end of this chapter, you will be able to:
- Describe the process of creating of a demand schedule, and explain what the demand schedule represents
- Explain how to create the supply schedule, and discuss what it is used for
- Discuss the reasons that demand curves are downward sloping
- Provide an explanation for the upward sloping nature of supply curves
- Define equilibrium and demonstrate an ability to calculate equilibrium
- Share ways market equilibrium is impacted by supply and demand
The lessons in this chapter are available as videos and full transcripts. Videos average about 8 minutes in length and feature clickable timelines you can use to skip to key topics. Full transcripts enable you to read the lessons online or print and add them to your study materials. With each lesson is a multiple-choice quiz designed to gauge your comprehension of the concepts it covers. To get a broader review of market equilibrium, supply and demand concepts, take this chapter's practice exam.
1. Market Demand Schedule
Demand can often drive the cost up or down for a product or service. In this lesson, you'll discover what demand is, what it looks like, and how market demand schedules are created.
2. Market Supply Schedule
Supply and demand play big roles in the economy. In this lesson, you'll discover what supply is, how we describe it, and how market supply schedules are created.
3. The Law of the Downward Sloping Demand Curve
Discover the relationship between the quantity demanded and price of a good or service in a market. This lesson explains why the demand curve is downward sloping and what factors will lead to a shift in demand.
4. The Upward-Sloping Supply Curve
Discover the relationship between the quantity of a good or service that is produced and its price. This lesson explains the supply side of a market, including the factors that lead to a shift in supply.
5. How to Calculate Market Equilibrium
Supply and demand is an important part of macroeconomics. In this lesson, you'll learn how to calculate the equilibrium price and quantity in a market at the intersection of the supply and demand curves.
6. How Changes in Supply and Demand Affect Market Equilibrium
Learn how the equilibrium of a market changes when supply and demand curves increase and decrease and how different shifts in the curves can affect price.
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Other chapters within the AP Macroeconomics: Exam Prep course
- Scarcity, Opportunity Cost & Production Possibility Curves
- Understanding Comparative Advantage, Specialization & Exchange
- Basics of Measuring the Economy
- Inflation & Adjustment in Economics
- Unemployment Basics
- Understanding Inflation & Unemployment
- Overview of Aggregate Demand & Supply
- Understanding Macroeconomic Equilibrium
- Understanding Economic Growth and Productivity
- Money & the Market
- The Central Bank & Monetary Policy
- Fiscal & Monetary Policies in Economics
- Foreign Exchange & Trade Balance
- Overview of Inflows, Outflows & Restrictions
- AP Macroeconomics Test Information & Strategy