Chapter 6 Vocabulary Review - Economics
Situation where quantity supplied is greater than quantity demanded at a given price. Surplus
The monetary value of a product. Price
A loan that neither carries a penalty or further obligation (responsibility) to Pay. Non-Recourse Loan
Not her A simplified version of a complex behavior expressed in the form of an equation, graph or illustration. Economic Model
System of allocating goods and services without prices. Rationing
The quantity of output supplied that is equal to the quantity demanded at the equilibrium price. Equilibrium Quantity
Situation where quantity supplied is less than quantity demanded at a given price. Shortage
The price where quantity supplied equals quantity demanded. Equilibrium Price
The lowest legal price by law that can be paid for a product. Price Floor
A price floor for agricultural products set by the government to stabilize farm prices. Target Price
The highest legal price by law that can be charged for a product. Price Ceiling
A fuel created from living materials like corn. Biofuels