Define demand. Define supply. In your answers, explain the difference between demand and quantity demanded and between supply and quantity supplied.

List the key nonprice factors that influence demand and supply.

In defining demand and supply, why do you think economists focus on price while holding constant other factors that might have an impact on the behavior of buyers and sellers?

Define comparative statics analysis. How does it compare with sensitivity analysis or what-if analysis used in finance, accounting, and statistics?

Define the rationing function of price. Why is it necessary for price to serve this function in the market economy?

Define the guiding or allocating function of price.

Discuss the differences between the short run and the long run from the perspective of producers and from the perspective of consumers.