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In a ______________, most economic decisions about what to produce, how to produce it, and for whom to produce it are made by buyers and selers. 

_____________ are enacted when discontented sellers, feeling that prices are too low appeal to legislators for favorable action in an effort to keep prices from falling. 

This question references the circular flow diagram:  In the _______________, households work and receive payment from firms.

The “Law of Supply” functions in the labor markets. That is, a higher ____________ for labor leads to a higher quantity of labor supplied. 

If a firm faces ______________, while the prices for the output the firm produces remains unchanged, a firm’s profits will increase. 

Supply is said to be _______ when the quantity supplied is very responsive to changes in price.

A student attends a community college which maintains a daily parking fee stucture (which includes night classes) and has night classes. Assume the following: “If I did not have class tonight, I would save the $4.00 campus parking fee and spend four hours at work. I earn $10.00 per hour.” What is the opportunity cost of attending class this evening? 

__________________ refers to the total number of units that are purchased at that price.

A change in the price of a good or service causes ________________ for that specific good or service.

The evidence on the supply of financial capital is controversial, but at least in the short run, the elasticity of savings with respect to the interest rate appears to be: