1. The market equilibrium is shown by the intersection of the __________ curve and the __________ curve. 2. Excess demand occurs when the price is (less/greater) than the equilibrium price; excess...

1. The market equilibrium is shown by the intersection of the __________ curve and the __________ curve.

2. Excess demand occurs when the price is (less/greater) than the equilibrium price; excess supply occurs when the price is (less/greater) than the equilibrium price.

3. Arrow up or down: An excess demand for a product will cause the price to __________. As a consequence of the price change, the quantity demanded will __________ and the quantity supplied will __________.

4. Arrow up or down: An excess supply of a product will cause the price to __________. As a consequence of the price change, the quantity demanded will __________, and the quantity supplied will __________.

5. A minimum price above the equilibrium price generates excess __________ (supply/demand). (Related to Application 3 on page 102.)