Exam 2: Supply and Demand

-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 an increase in the price of one on the market for the other?

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

If there is an expectation that the price of a good will decrease in the next month this would immediately

-In Figure 2.1, Box 4 would be labeled

If the taste for a good decreases, the

-From Table 2.1, which column is likely to be the one for quantity demanded?

-From Table 2.3, at the price of $1 there is a

-Of the collection of supply and demand diagrams in Figure 2.2, which one shows the result of an increase in the price of a complement for a good?

-In Figure 2.1, Box 3 would be labeled

If there is a good that is consumed almost entirely by children, a significant reduction in the birth rate would

If there is an expectation that the price of a good will decrease in the next month this would immediately

Which of the following goods should be clearly considered substitutes?

The increase in the number of sellers of a good would

Which of the following is the best example of the concept of "inferior"?

An increase in which of the following determinants of demand will have an ambiguous (uncertain)effect on price

If you are given $20 and told to go to the store and buy as many potatoes as you can, the reason your demand curve for potatoes is downward sloping has mostly to do with

The real balances effect suggests that

-Of the collection of supply and demand diagrams in Figure 2.2, which one shows the result of an increase in income if a good is considered normal?

If a good is inferior and income decreases then

The price at which the amount consumers wish to purchase equals the amount firms wish to sell is called the