Supply and Demand

Supply and demand have an inverse relationship.

• Supply goes to the sky
• Demand goes to the sand

Demand- the quantities that people are willing to buy at various prices.

Change in demand

• Change in buyers taste
• Change in the number of buyers
• Change in income
• change in the price of related goods
• Change in expectation

Supply-the quantities that  producers are able to produce at various prices

Change in supply

• Change in technology
• change in takes or subsides
• Change in expectations
• Change in the number of supplies
• Change in the weather
• Change in the cost of production