Law of Supply and Demand

This handout introduces students to the idea of what a market is, the law of supply, the law of demand, and how these two intersect to create an equilibrium price. Then it explains the idea of how a market price is different from an equilibrium price, and how prices above or below the equilibrium cause surpluses or shortages of goods/services. There are check for understanding questions throughout the 4 pages of this handout.