| Demand |
The quantity of a good consumers are willing to buy at various prices |
As price increases, demand decreases (inverse relationship) |
| Demand Curve |
A graphical representation of the relationship between price and quantity demanded |
Slopes downward (inverse relationship with price) |
| Supply |
The quantity of a good producers are willing to offer for sale at various prices |
As price increases, supply increases (direct relationship) |
| Supply Curve |
A graphical representation of the relationship between price and quantity supplied |
Slopes upward (direct relationship with price) |
| Equilibrium |
The point where supply equals demand in the market |
Occurs at the intersection of the supply and demand curves |