1. The Law of Supply suggests that as prices increase, quantity increases and as prices decrease, quantity decreases. The Law of Supply is the direct relationship between price and quantity. 2. The Law of Demand says that as prices increase, quantity decreases and vice versa, as price decrease, quantity increases. This is an inverse relationship between price and quantity. 3. Four determinants of supply are: input costs, taxes, subsidies, and technologies. 4. Four determinants of demand are: income, tastes, preferences, and other goods. 5. The equilibrium point is determined by the intersection of the supply and demand curve. This will dictate the equilibrium quantity and the price. 6. If Joshua has an increase in income, the demand curve would shift to the right. As the quantity increases, the price will increase as well. 7. If the tax credit increased the purchasing power would result in increased demand and the demand curve would shift to the right. The increase for demand would increase the supply and shift this to the right