Supply and Demand
Grade 2 · Social Studies · Economics · Massachusetts, USA
Lesson Summary
Supply is how much of something is available. Demand is how much people want it.
Explanation
Supply is the amount of a good or service that is available for people to buy. Demand is how much people want that good or service. When lots of people want something but there is not much of it, the price usually goes up. When there is plenty of something but not many people want it, the price usually goes down. Think of popular toys at holiday time — everyone wants them, so they can be harder to find and more expensive.
Practice Questions
Q1: What happens to the price when demand is high but supply is low?
Answer: The price usually goes up.
Q2: What does 'demand' mean?
Answer: How much people want a good or service.
Q3: A store has too many umbrellas and not many people want them. What will probably happen to the price?
Answer: The price will probably go down.
People Also Ask
What is Supply and Demand in Grade 2 Social Studies?+
Supply and Demand is a lesson in the Economics chapter of Grade 2 Social Studies. It is part of the Massachusetts, USA school curriculum and covers key concepts that students need to understand at this level.
What grade level covers Supply and Demand?+
Supply and Demand is taught in Grade 2 as part of the Social Studies curriculum in Massachusetts, USA.
How can I help my child with Economics in Social Studies?+
Start with the lesson summary and explanation on this page. Practice the questions provided, then use TutorTom for personalized, step-by-step help with Economics topics.