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Illustration of Supply and demand

Supply and demand

Supply and demand is a fundamental economic principle that describes the relationship between the quantity of…

Reads at Pre-K Listens at Pre-K–1

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28 worksheets · answer keys · full story · quiz · Ages 3-5 · CEFR A1

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Just want Supply and demand?

The story

The Seesaw of Wants and Needs

Have you ever wanted the very last yummy cookie on a plate? Or maybe you’ve seen a giant pile of colorful bouncy balls at the store, so many you couldn't even count them. Sometimes there is only one of something special, and other times there are lots and lots. I am the secret reason why. I help decide how many toys are in the toy box and how many yummy strawberries are at the market. I am a special kind of magic that makes sure there are enough fun things for everyone.

Are you ready to learn my name? I am Supply and Demand. It’s like having two best friends playing on a seesaw. My first friend is named Supply. Supply is all about how much of something there is. A whole tree full of red, juicy apples is a big supply. My other friend is named Demand. Demand is about how many people want that thing. If everyone in your whole class wants an apple for a snack, that’s a big, big demand. When lots of people want something and there isn't very much of it, the seesaw goes way, way up on the Demand side. When there are plenty of apples for everyone, the seesaw is happy and balanced.

I love helping people share. I help farmers know how many crunchy carrots to plant in their big, green gardens. I help the toymakers know how many soft teddy bears to make for sleepy time. I work everywhere, from the big grocery store to your very own lemonade stand on a sunny day. By watching my seesaw game of what’s available and what’s wanted, everyone can make sure there are enough good things to go around. I help the world share, so you can find your favorite foods and fun new toys to play with every single day.

Wow facts

About

Supply and demand is a fundamental economic principle that describes the relationship between the quantity of a commodity that producers wish to sell at various prices and the quantity that consumers wish to buy.

Formulated 1776 CE

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What were my two super friends' names?

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Supply and demand
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