| A | B |
|---|
| Buyer’s market | The best time for consumers to buy; characterized by large supply, small demand, and low prices |
| Consumption | The process or activity of using goods and services |
| Equilibrium price | The point at which the quantity of a good that buyers want to buy is equal to the quantity that sellers are willing to sell at a certain price. |
| Excess demand | The situation that exists when demand is greater than supply. |
| Excess supply | The situation that exists when supply is greater than demand. |
| Inelastic demand | A form of demand in which changes in price do not affect demand. |
| Law of demand | Economic principle which states that the quantity of a good or service that people will buy varies inversely with the price of the good or service |
| Law of supply | Economic principle which states that the quantity of a good or service that will be offered for sale varies in direct relation to its price |
