Practice understanding how supply, demand, and market forces influence prices and choices.
Read each problem carefully. Answer in complete sentences and explain your thinking when needed.
How buyers, sellers, and prices affect the market
Social Studies - Grade 6-8
- 1
Define supply in your own words.
- 2
Define demand in your own words.
- 3
A new video game becomes very popular, so many more people want to buy it. What happens to demand for the game?
- 4
A factory makes twice as many water bottles as before. What happens to the supply of water bottles?
- 5
If demand for concert tickets increases but supply stays the same, what will most likely happen to the price?
- 6
If the supply of apples increases a lot but demand stays the same, what will most likely happen to the price of apples?
- 7
Explain what a market is in economics.
- 8
A storm damages orange crops, so fewer oranges are available to sell. What happens to the supply of oranges, and what may happen to the price?
- 9
Why might a store lower the price of winter coats at the end of winter?
- 10
A local bakery raises the price of cupcakes. After the price increase, fewer customers buy them. What does this show about demand?
- 11
Describe an example from everyday life of supply and demand affecting price.
- 12
A market reaches equilibrium when supply and demand are balanced. What does this mean in simple terms?