Lesson Objective

Describe supply and demand orally and with graphs
Discuss how supply and demand affect the price of products and services
Explain causes of inflation and deflation

How does the price of a product affect supply and demand?
How is the market price for a product determined?
What causes inflation?

consumers, producers, demand, supply, market price, inflation, deflation, recession, depression

CTE-Business and Finance Technology; Business management
B. Economics: Describe and apply the decision making process for
allocating scarce resources
16. Explain how change in one component of circular flow of economic activity affects other components.
18. Explain and give illustrations of the law of demand law of supply and equilibrium price

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