Question 1 (0.25 points) The Law of Demand states that, ceteris paribus, there i
ID: 1214801 • Letter: Q
Question
Question 1 (0.25 points)
The Law of Demand states that, ceteris paribus, there is...
Question 1 options:
a negative relationship between income and quantity demanded
a negative relationship between price and demand
a negative relationship between price and quantity supplied
a negative relationship between price and quantity demanded
Question 2 (0.25 points)
If in 2008 we observed that 2 million cars were purchased (in equilibrium) for a price of $22,000 and that in 2009 report we observed that 3 million cars were purchased for a price of $25,000 then this change could have been caused by…
Question 2 options:
an improvement in car-making technology
higher incomes for car buyers
an increase in the price of gasoline
an increase in the wages of auto workers
Question 3 (0.25 points)
Without an increase in price, an increase in demand will lead to...
Question 3 options:
a shortage
a surplus
socialism
equilibrium
Question 4 (0.25 points)
Judy demand more potatoes as her income decreases. From this we can conclude that for Judy...
Question 4 options:
potatoes are a normal good
potatoes are a complimentary good
potatoes are an inferior good
potatoes are a substitute good
Question 5 (0.5 points)
Two goods are substitute if...
Question 5 options:
the supply of one good decreases when the price of the other increases.
the supply of one good decreases when the price of the other decreases.
the demand of one good decreases when the price of the other increases.
the demand of one good decreases when the price of the other decreases.
Question 6 (0.5 points)
An increase in the demand for guitars is represented by the movement from...
Question 6 options:
point B to point C
point B to point A
D1 to D0
D1 to D2
Question 7 (0.5 points)
A decrease in quantity demanded is represented by...
Question 7 options:
point B to point C
point B to point A
D1 to D0
D1 to D2
Question 8 (0.5 points)
Hops are used to produce beer. If the price of hops decreases then...
Question 8 options:
the demand for beer increases
the demand for beer decreases
the supply of beer increases
the supply of beer decreases
Question 9 (0.5 points)
If the number of beer producers decreases then the equilibrium price will _____ and the equilibrium quantity will ______.
Question 9 options:
increase, increase
increase, decrease
decrease, decrease
decrease, increase
Question 10 (0.5 points)
The price of I-pods has fallen. Which of the following is likely to happen...
Question 10 options:
the supply of I-pods will fall
the supply of I-pods will rise
the quantity supplied of I-pods will rise
the quantity supplied of I-pods will fall
Question 11 (0.5 points)
An increase in the amount of subsidies that a public university receives would result in...
Question 11 options:
an upward movement along the supply curve for education
a downward movement along the supply curve for education
a leftward shift in the supply curve for education
a rightward shift in the supply curve for education
Question 12 (0.5 points)
An increase in quantity demanded would be represented graphically as...
Question 12 options:
a leftward shift of the demand curve
a rightward shift of the demand curve
a movement upward along the demand curve
a movement downward along the demand curve
Question 13 (0.5 points)
An increase in the supply of guitars is represented by a movement from...
Question 13 options:
point B to point C
point B to point A
S1 to S0
S1 to S2
Question 14 (0.5 points)
An increase in the price of rosewood, used to make guitars, would cause a movement from...
Question 14 options:
point B to point C
point B to point A
S1 to S0
S1 to S2
Question 15 (0.5 points)
When the market moves from point A to point B there has been an...
Question 15 options:
an increase in supply and an increase in demand
an increase in supply and an increase in quantity demanded
an increase in quantity supplied and an increase in demand
an increase in quantity supplied and a decrease in demand.
Question 16 (0.5 points)
When the market equilibrium moves from point B to point C there has been a...
Question 16 options:
decrease in supply and a decrease in demand
decrease in supply and a decrease in quantity demanded
decrease in quantity supplied and a decrease in demand
decrease in quantity supplied and an increase in demand
Suppose that the population of a country increases. Assuming that people in that country enjoy eating steak, we would predict that the equilibrium quantity of steak will ________ and the equilibrium price of steak will ________ in that country.
Question 17 options:
increase, increase
increase, decrease
decrease, increase
decrease, decrease
Question 18 (0.5 points)
Suppose that milk and soda are substitutes. An increase in the price of milk will lead to:
Question 18 options:
a decrease in the quantity demanded for soda
an increase in the demand for soda
a decrease in the demand for soda
a decrease in the demand for milk
Question 19 (0.5 points)
A decrease in the supply of pizza could be caused by...
Question 19 options:
a decrease in the price of pizza
an increase in the price of pizza
an increase in the price of cheese needed to make pizza
a decrease in the price of the cheese needed to make pizza
Question 20 (0.5 points)
A decrease in the quantity supplied of pizza could be caused by...
Question 20 options:
A decrease in the price of pizza
an increase in the price of pizza
an increase in the price of the cheese needed to make pizza
a decrease in the price of the cheese needed to make pizza
Question 21 (0.5 points)
Suppose spaghetti is an inferior good, then an increase in income will cause...
Question 21 options:
a rightward shift of the demand curve
a leftward shift of the demand curve
a movement upward along the demand curve
a movement downward along the demand curve
a negative relationship between income and quantity demanded
a negative relationship between price and demand
a negative relationship between price and quantity supplied
a negative relationship between price and quantity demanded
Question 2 (0.25 points)
If in 2008 we observed that 2 million cars were purchased (in equilibrium) for a price of $22,000 and that in 2009 report we observed that 3 million cars were purchased for a price of $25,000 then this change could have been caused by…
Question 2 options:
an improvement in car-making technology
higher incomes for car buyers
an increase in the price of gasoline
an increase in the wages of auto workers
Question 3 (0.25 points)
Without an increase in price, an increase in demand will lead to...
Question 3 options:
a shortage
a surplus
socialism
equilibrium
Question 4 (0.25 points)
Judy demand more potatoes as her income decreases. From this we can conclude that for Judy...
Question 4 options:
potatoes are a normal good
potatoes are a complimentary good
potatoes are an inferior good
potatoes are a substitute good
Question 5 (0.5 points)
Two goods are substitute if...
Question 5 options:
the supply of one good decreases when the price of the other increases.
the supply of one good decreases when the price of the other decreases.
the demand of one good decreases when the price of the other increases.
the demand of one good decreases when the price of the other decreases.
Question 6 (0.5 points)
An increase in the demand for guitars is represented by the movement from...
Question 6 options:
point B to point C
point B to point A
D1 to D0
D1 to D2
Question 7 (0.5 points)
A decrease in quantity demanded is represented by...
Question 7 options:
point B to point C
point B to point A
D1 to D0
D1 to D2
Question 8 (0.5 points)
Hops are used to produce beer. If the price of hops decreases then...
Question 8 options:
the demand for beer increases
the demand for beer decreases
the supply of beer increases
the supply of beer decreases
Question 9 (0.5 points)
If the number of beer producers decreases then the equilibrium price will _____ and the equilibrium quantity will ______.
Question 9 options:
increase, increase
increase, decrease
decrease, decrease
decrease, increase
Question 10 (0.5 points)
The price of I-pods has fallen. Which of the following is likely to happen...
Question 10 options:
the supply of I-pods will fall
the supply of I-pods will rise
the quantity supplied of I-pods will rise
the quantity supplied of I-pods will fall
Question 11 (0.5 points)
An increase in the amount of subsidies that a public university receives would result in...
Question 11 options:
an upward movement along the supply curve for education
a downward movement along the supply curve for education
a leftward shift in the supply curve for education
a rightward shift in the supply curve for education
Question 12 (0.5 points)
An increase in quantity demanded would be represented graphically as...
Question 12 options:
a leftward shift of the demand curve
a rightward shift of the demand curve
a movement upward along the demand curve
a movement downward along the demand curve
Question 13 (0.5 points)
An increase in the supply of guitars is represented by a movement from...
Question 13 options:
point B to point C
point B to point A
S1 to S0
S1 to S2
Question 14 (0.5 points)
An increase in the price of rosewood, used to make guitars, would cause a movement from...
Question 14 options:
point B to point C
point B to point A
S1 to S0
S1 to S2
Question 15 (0.5 points)
When the market moves from point A to point B there has been an...
Question 15 options:
an increase in supply and an increase in demand
an increase in supply and an increase in quantity demanded
an increase in quantity supplied and an increase in demand
an increase in quantity supplied and a decrease in demand.
Question 16 (0.5 points)
When the market equilibrium moves from point B to point C there has been a...
Question 16 options:
decrease in supply and a decrease in demand
decrease in supply and a decrease in quantity demanded
decrease in quantity supplied and a decrease in demand
decrease in quantity supplied and an increase in demand
Suppose that the population of a country increases. Assuming that people in that country enjoy eating steak, we would predict that the equilibrium quantity of steak will ________ and the equilibrium price of steak will ________ in that country.
Question 17 options:
increase, increase
increase, decrease
decrease, increase
decrease, decrease
Question 18 (0.5 points)
Suppose that milk and soda are substitutes. An increase in the price of milk will lead to:
Question 18 options:
a decrease in the quantity demanded for soda
an increase in the demand for soda
a decrease in the demand for soda
a decrease in the demand for milk
Question 19 (0.5 points)
A decrease in the supply of pizza could be caused by...
Question 19 options:
a decrease in the price of pizza
an increase in the price of pizza
an increase in the price of cheese needed to make pizza
a decrease in the price of the cheese needed to make pizza
Question 20 (0.5 points)
A decrease in the quantity supplied of pizza could be caused by...
Question 20 options:
A decrease in the price of pizza
an increase in the price of pizza
an increase in the price of the cheese needed to make pizza
a decrease in the price of the cheese needed to make pizza
Question 21 (0.5 points)
Suppose spaghetti is an inferior good, then an increase in income will cause...
Question 21 options:
a rightward shift of the demand curve
a leftward shift of the demand curve
a movement upward along the demand curve
a movement downward along the demand curve
Explanation / Answer
1) a negatice relationship between price and quantity demanded.
the law of demand states that, all else being equal, as the price of a product increases (), quantity demanded falls (); likewise, as the price of a product decreases (), quantity demanded increases ().
2)An improvement in the car making technology