Exam 2: Supply and Demand

A friend is telling you that they tend to drink more at parties than they do at home. You ask about why and they tell you that though they enjoy their fifth and sixth drinks the same regardless of where they are, the fact that it is free at the party and they have to pay to replace it at home, you translate that statement into a verification of

On the Heritage Foundation's scale of "Economic Freedom," which of the following countries is least "Free"?

-If two goods can be made with essentially the same inputs, which one of the collection of supply and demand diagrams above shows the result of a decrease in the price of one on the market for the other.

The relationship between price and quantity demanded, ceteris paribus is

If the price of a bottle of orange juice in the downtown area is $0.50 per bottle and, at that price, each of the 10,000 people working in the downtown area wants to buy two bottles of orange juice per day, the quantity demanded in the downtown orange juice market would be

Where the supply and demand curves cross, the amount that consumers want to buy is

-Of the collection of supply and demand diagrams in Figure 2.2, which one shows the result of an increase in the number of sellers in the market for anything?

The increase in the price of a good would

During flu season, as people try to boost their immune system believing that orange juice might aid in keeping viruses at bay,

At the equilibrium price

The quintessential example of substitute goods would be

On the Heritage Foundation's scale of "Economic Freedom," which of the following factors contribute to "Economic Freedom"?

In drawing a supply curve, the labels for the axes are

-From Table 2.2, which column is the one for shortage?

-Of the collection of supply and demand diagrams in Figure 2.2, which one shows the result of a decrease in the taste for a good?

If a firm has two production alternatives and the price of one decreases this will cause the other good's

An increase in the degree a good is liked (the increase in the taste for a good)would

In drawing a demand curve, the labels for the axes are

The decrease in the number of sellers of a good would

The decrease in the price of a good that is used as an input for a second good, would (for the second good)