Think of a normal X-Y graph. On the Y-axis is price, and on the X-Axis is quantity. Demand is generally a downward sloping line (or curve) and supply is generally an upward sloping line (or curve).
Here is a basic example that I made: see link below
Note that supply and demand intersect - this point is known as the market equilibrium because quantity supplied equals quantity demanded.
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use a demand and supply diagram to illustrate the effect of a subsidy.
It is supposed to be the optimal meeting of demand and supply. There is a high demand for fresh vegetables, which are flavorful and healthy. There is an equally high supply. Buyer and producer each meet their needs. Prices go up if supply is low, demand high. Prices go further down if supply is high, demand low.
No effect. Spending will decrease Aggregate Demand, lower taxes will raise Aggregate Demand
No. If demand rises, then supply falls. Transveresly, if demand falls, then supply rises.
If there is not enough supply for the demand, the demand won´t be able to buy the supply