1.

According to the law of supply, suppliers want to sell their product at ___ prices.

low

high

consistent

2.

According to the law of demand, consumers want to purchase a product at ___ prices.

low

high

consistent

3.

Which person is credited with introducing the concept of supply and demand?

Milton Friedman

Thomas Paine

Adam Smith

1. high

2. low

3. Adam Smith

Explanation:

Adam Smith, considered the "father" of modern economics defined the terms supply and demand to describe the dynamics between buyers, sellers, and prices. He believed in "laissez-faire" economics, which means that businesses should be allowed to conduct trade with as little government intervention as possible. This includes the freedom to sell their goods at whatever price they want. A supplier will always look to obtain the greatest profit, and in order to do so they will try to sell a product at the highest price. Consumers, on the other hand, will always want to buy a product for the lowest price. They law of supply and demand states that the higher the price of a product, the lower the demand (or willingness of consumer to purchase said product), and vice versa.