Title: Explain supply, law of supply, demand, law of demand, and economic equilibrium.
Course: Principles of Business and Marketing (12051-36) > Section: Understanding the Role of Economics in a Global Economy

Explanation should include the following concepts:

- Supply is the amount of goods producers are willing to make and sell.
- Law of supply states that when prices are high, supply will rise.
- Demand is the consumer willingness and ability to buy products.
- Law of demand states that when prices fall, demand will rise.
- Economic equilibrium is the point at which quantity demanded and quantity supplied are equal.

Process/Skill Questions:

- What factors influence the supply of a product or service?
- What factors influence the demand for a product or service?
- How can these factors be seen in the current marketplace?
- Why is economic equilibrium important?
- How can economic equilibrium be achieved?
- What is demand elasticity?
- What does it mean for a product to have inelastic demand? Elastic demand?
- What happens to the price of a good or service when supply exceeds demand?
- What happens to the price of a good or service when demand exceeds supply?