Question 1

As people have become more health-conscious and decided to eat food that is better for them

Accepted Answer

A) the demand curve for scooters has shifted to the right. 
B) the demand curve for cupcakes has shifted to the right. 
C) the demand curve for oranges and apples has shifted to the right. 
D) None of the above. 
A) the demand curve for scooters has shifted to the right. 
B) the demand curve for cupcakes has shifted to the right. 
C) the demand curve for oranges and apples has shifted to the right. 
D) None of the above.

Question 2

A price ceiling that is set below the equilibrium price

Accepted Answer

A) causes suppliers to lose money. 
B) creates a shortage. 
C) is non-binding. 
D) creates a surplus. 
A) causes suppliers to lose money. 
B) creates a shortage. 
C) is non-binding. 
D) creates a surplus.

Question 3

If the demand curve is horizontal a rightward shift of the supply curve will lead to

Accepted Answer

A) an increase in quantity supplied. 
B) an increase in price. 
C) a decrease in quantity demanded. 
D) a decrease in price. 
A) an increase in quantity supplied. 
B) an increase in price. 
C) a decrease in quantity demanded. 
D) a decrease in price.

Question 4

Suppose a market were currently at equilibrium. A rightward shift of the supply curve would cause a(n)

Accepted Answer

A) increase in price but a decrease in quantity. 
B) decrease in price but an increase in quantity. 
C) increase in both price and quantity. 
D) decrease in both price and quantity. 
A) increase in price but a decrease in quantity. 
B) decrease in price but an increase in quantity. 
C) increase in both price and quantity. 
D) decrease in both price and quantity.

Question 5

A market is said to "clear" when

Accepted Answer

A) sellers give up selling their goods because they can't find any buyers. 
B) buyers and sellers are able to buy and sell as much as they want at the market price. 
C) the government decides to shut it down. 
D) sellers run out of goods to sell. 
A) sellers give up selling their goods because they can't find any buyers. 
B) buyers and sellers are able to buy and sell as much as they want at the market price. 
C) the government decides to shut it down. 
D) sellers run out of goods to sell.

Question 6

If the price of automobiles were to decrease substantially, the demand curve for pizza would most likely

Accepted Answer

A) shift rightward. 
B) shift leftward. 
C) remain unchanged. 
D) remain unchanged while quantity demanded would change. 
A) shift rightward. 
B) shift leftward. 
C) remain unchanged. 
D) remain unchanged while quantity demanded would change.

Question 7

Consumers have been buying fewer CDs as downloadable music has become easier to purchase and use. We would represent this as

Accepted Answer

A) a leftward shift of the demand curve for CDs. 
B) a rightward shift of the demand curve for CDs. 
C) a change in the price of CDs. 
D) a leftward shift of the supply curve for downloadable music. 
A) a leftward shift of the demand curve for CDs. 
B) a rightward shift of the demand curve for CDs. 
C) a change in the price of CDs. 
D) a leftward shift of the supply curve for downloadable music.

Question 8

-The above figure shows four different markets with changes in either the supply curve or the demand curve. Which graph best illustrates the market for non-dairy coffee creamer after severe weather destroys a large portion of the coffee crop?

Accepted Answer

A) Graph A 
B) Graph B 
C) Graph C 
D) Graph D 
A) Graph A 
B) Graph B 
C) Graph C 
D) Graph D

Question 9

A leftward shift of the demand curve will lead to a(n)

Accepted Answer

A) decrease in equilibrium price. 
B) excess supply at the old equilibrium price. 
C) decrease in quantity supplied. 
D) All of the above. 
A) decrease in equilibrium price. 
B) excess supply at the old equilibrium price. 
C) decrease in quantity supplied. 
D) All of the above.

Question 10

-The above figure shows a graph of a market for pizzas in a large town. At a price of $7, what is the amount of excess demand?

Accepted Answer

A) 0; there is excess supply at $7. 
B) 20 units 
C) 30 units 
D) 10 units 
A) 0; there is excess supply at $7. 
B) 20 units 
C) 30 units 
D) 10 units

Question 11

If the price of automobiles were to increase substantially, the demand curve for automobiles would most likely

Accepted Answer

A) shift rightward. 
B) shift leftward. 
C) remain unchanged. 
D) become steeper. 
A) shift rightward. 
B) shift leftward. 
C) remain unchanged. 
D) become steeper.

Question 12

If a demand curve shifts left, it implies

Accepted Answer

A) as a group, consumers are willing and able to pay less for the product. 
B) as a group, consumers are willing and able to pay more for the product. 
C) government has regulated how many people can purchase the product. 
D) the profit motive of the firms is making the price too high. 
A) as a group, consumers are willing and able to pay less for the product. 
B) as a group, consumers are willing and able to pay more for the product. 
C) government has regulated how many people can purchase the product. 
D) the profit motive of the firms is making the price too high.

Question 13

Which of the following would NOT change demand?

Accepted Answer

A) the price of the product 
B) information about the product's health effects 
C) the income of the consumers 
D) the price of related products 
A) the price of the product 
B) information about the product's health effects 
C) the income of the consumers 
D) the price of related products

Question 14

If the price of automobiles were to increase substantially, the demand curve for gasoline would most likely

Accepted Answer

A) shift leftward. 
B) shift rightward. 
C) remain unchanged. 
D) become steeper. 
A) shift leftward. 
B) shift rightward. 
C) remain unchanged. 
D) become steeper.

Question 15

If the price is $5 and the quantity demanded is 100 units, then at a price of $10, the quantity demanded will be

Accepted Answer

A) less than or equal to 100 units. 
B) greater than or equal to 100 units. 
C) greater than quantity supplied. 
D) equal to 100 units. 
A) less than or equal to 100 units. 
B) greater than or equal to 100 units. 
C) greater than quantity supplied. 
D) equal to 100 units.

Question 16

-The above figure shows the market for apples. If a consumer group convinces the government to set a maximum price of $2 per pound, then

Accepted Answer

A) 300 pounds of apples will be sold at $2. 
B) no apples will be supplied. 
C) no apples will be demanded. 
D) there will be a shortage of 100 pounds of apples. 
A) 300 pounds of apples will be sold at $2. 
B) no apples will be supplied. 
C) no apples will be demanded. 
D) there will be a shortage of 100 pounds of apples.

Question 17

According to the Law of Demand, the demand curve for a good will

Accepted Answer

A) shift leftward when the price of the good increases. 
B) shift rightward when the price of the good increases. 
C) slope downward. 
D) slope upward. 
A) shift leftward when the price of the good increases. 
B) shift rightward when the price of the good increases. 
C) slope downward. 
D) slope upward.

Question 18

-The above figure shows four different markets with changes in either the supply curve or the demand curve. Which graph best illustrates the market for coffee after severe weather destroys a large portion of the coffee crop?

Accepted Answer

A) Graph A 
B) Graph B 
C) Graph C 
D) Graph D 
A) Graph A 
B) Graph B 
C) Graph C 
D) Graph D

Question 19

-The above figure shows a graph of the market for pizzas in a large town. What are the equilibrium price and quantity?

Accepted Answer

A) p = 8, Q = 60 
B) p = 7, Q = 40 
C) p = 7, Q = 70 
D) p = 10, Q = 40 
A) p = 8, Q = 60 
B) p = 7, Q = 40 
C) p = 7, Q = 70 
D) p = 10, Q = 40

Question 20

A increase in quantity demanded as a result of a change in price

Accepted Answer

A) is a rightward shift of the demand curve. 
B) is a leftward shift of the demand curve. 
C) leaves the demand curve unchanged. 
D) is not possible. 
A) is a rightward shift of the demand curve. 
B) is a leftward shift of the demand curve. 
C) leaves the demand curve unchanged. 
D) is not possible.

As people have become more health-conscious and decided to eat food that is better for them

A price ceiling that is set below the equilibrium price

If the demand curve is horizontal a rightward shift of the supply curve will lead to

Suppose a market were currently at equilibrium. A rightward shift of the supply curve would cause a(n)

A market is said to "clear" when

If the price of automobiles were to decrease substantially, the demand curve for pizza would most likely

Consumers have been buying fewer CDs as downloadable music has become easier to purchase and use. We would represent this as

-The above figure shows four different markets with changes in either the supply curve or the demand curve. Which graph best illustrates the market for non-dairy coffee creamer after severe weather destroys a large portion of the coffee crop?

A leftward shift of the demand curve will lead to a(n)

-The above figure shows a graph of a market for pizzas in a large town. At a price of $7, what is the amount of excess demand?

If the price of automobiles were to increase substantially, the demand curve for automobiles would most likely

If a demand curve shifts left, it implies

Which of the following would NOT change demand?

If the price of automobiles were to increase substantially, the demand curve for gasoline would most likely

If the price is $5 and the quantity demanded is 100 units, then at a price of $10, the quantity demanded will be

-The above figure shows the market for apples. If a consumer group convinces the government to set a maximum price of $2 per pound, then

According to the Law of Demand, the demand curve for a good will

-The above figure shows four different markets with changes in either the supply curve or the demand curve. Which graph best illustrates the market for coffee after severe weather destroys a large portion of the coffee crop?

-The above figure shows a graph of the market for pizzas in a large town. What are the equilibrium price and quantity?

A increase in quantity demanded as a result of a change in price

Introduction

Empirical Methods for Demand Analysis

Consumer Choice

Production

Costs

Firm Organization and Market Structure

Competitive Firms and Markets

Monopoly

Pricing With Market Power

Oligopoly and Monopolistic Competition

Game Theory and Business Strategy

Strategies Over Time

Managerial Decision-Making Under Uncertainty

Asymmetric Information

Government and Business

Global Business

Filters

Exam 2: Supply and Demand

As people have become more health-conscious and decided to eat food that is better for them

A price ceiling that is set below the equilibrium price

If the demand curve is horizontal a rightward shift of the supply curve will lead to

Suppose a market were currently at equilibrium. A rightward shift of the supply curve would cause a(n)

A market is said to "clear" when

If the price of automobiles were to decrease substantially, the demand curve for pizza would most likely

Consumers have been buying fewer CDs as downloadable music has become easier to purchase and use. We would represent this as

-The above figure shows four different markets with changes in either the supply curve or the demand curve. Which graph best illustrates the market for non-dairy coffee creamer after severe weather destroys a large portion of the coffee crop?

A leftward shift of the demand curve will lead to a(n)

-The above figure shows a graph of a market for pizzas in a large town. At a price of $7, what is the amount of excess demand?

If the price of automobiles were to increase substantially, the demand curve for automobiles would most likely

If a demand curve shifts left, it implies

Which of the following would NOT change demand?

If the price of automobiles were to increase substantially, the demand curve for gasoline would most likely

If the price is $5 and the quantity demanded is 100 units, then at a price of $10, the quantity demanded will be

-The above figure shows the market for apples. If a consumer group convinces the government to set a maximum price of $2 per pound, then

According to the Law of Demand, the demand curve for a good will

-The above figure shows four different markets with changes in either the supply curve or the demand curve. Which graph best illustrates the market for coffee after severe weather destroys a large portion of the coffee crop?

-The above figure shows a graph of the market for pizzas in a large town. What are the equilibrium price and quantity?

A increase in quantity demanded as a result of a change in price

Introduction

Empirical Methods for Demand Analysis

Consumer Choice

Production

Costs

Firm Organization and Market Structure

Competitive Firms and Markets

Monopoly

Pricing With Market Power

Oligopoly and Monopolistic Competition

Game Theory and Business Strategy

Strategies Over Time

Managerial Decision-Making Under Uncertainty

Asymmetric Information

Government and Business

Global Business

Filters