Question 1

When the price of gas goes up and the demand for tires goes down, this means tires and gas are:

Accepted Answer

A)  substitutes. 
B)  complements. 
C)  both expensive. 
D)  both inexpensive. 
A)  substitutes. 
B)  complements. 
C)  both expensive. 
D)  both inexpensive.

Question 2

Demand is best defined as the:

Accepted Answer

A)  amount of a commodity that buyers would be willing and able to purchase at a specific price. 
B)  price that buyers would be willing and able to pay for a specific quantity of a good. 
C)  relationship between the price of a good and the quantity people are able to purchase, all other things unchanged. 
D)  relationship between the price of a good and the quantity people are willing and able to purchase, all other things unchanged. 
A)  amount of a commodity that buyers would be willing and able to purchase at a specific price. 
B)  price that buyers would be willing and able to pay for a specific quantity of a good. 
C)  relationship between the price of a good and the quantity people are able to purchase, all other things unchanged. 
D)  relationship between the price of a good and the quantity people are willing and able to purchase, all other things unchanged.

Question 3

Use the following to answer question(s): Demand and Supply of Wheat
  
-(Exhibit: Demand and Supply of Wheat) If a price of $10 temporarily exists in this market, a:

Accepted Answer

A)  shortage of 10,000 bushels will result. 
B)  shortage of 8,000 bushels will result. 
C)  surplus of 8,000 bushels will result. 
D)  surplus of 6,000 bushels will result. 
A)  shortage of 10,000 bushels will result. 
B)  shortage of 8,000 bushels will result. 
C)  surplus of 8,000 bushels will result. 
D)  surplus of 6,000 bushels will result.

Question 4

A price below the equilibrium price will:

Accepted Answer

A)  result in pressure for price to rise. 
B)  result in a surplus. 
C)  never be the case. 
D)  result in pressure for price to fall. 
A)  result in pressure for price to rise. 
B)  result in a surplus. 
C)  never be the case. 
D)  result in pressure for price to fall.

Question 5

Use the following to answer question(s): The Demand for Chocolate-Covered Peanuts
Quantity Demanded
(bags per month)
  
-(Exhibit: The Demand for Chocolate-Covered Peanuts) If George, Barbara, and Dan are the only three buyers in the market, and the price of a bag of chocolate-covered peanuts is 80 cents, the total market demand is ________ bags per month.

Accepted Answer

A)  70 
B)  80 
C)  105 
D)  280 
A)  70 
B)  80 
C)  105 
D)  280

Question 6

The Case in Point on obesity argues that agricultural innovation led to:

Accepted Answer

A)  the increase in the demand for food. 
B)  the increase in the supply of food. 
C)  higher food prices. 
D)  B and C occurred. 
A)  the increase in the demand for food. 
B)  the increase in the supply of food. 
C)  higher food prices. 
D)  B and C occurred.

Question 7

Use the following to answer question(s): Demand Shifters and Supply Shifters
  
-(Exhibit: Demand Shifters and Supply Shifters) The exhibit shows how supply and demand might shift in response to specific events.Suppose scientists discover that eating asparagus slows down the aging process.Which panel best describes how this will affect the market for asparagus?

Accepted Answer

A)  Panel (a) 
B)  Panel (b) 
C)  Panel (c) 
D)  Panel (d) 
A)  Panel (a) 
B)  Panel (b) 
C)  Panel (c) 
D)  Panel (d)

Question 8

The relationship between the quantity of a good or service sellers are willing to offer for sale at different prices is:

Accepted Answer

A)  supply. 
B)  demand. 
C)  equilibrium. 
D)  disequilibrium. 
A)  supply. 
B)  demand. 
C)  equilibrium. 
D)  disequilibrium.

Question 9

A shift of a demand curve to the right, all other things unchanged, will:

Accepted Answer

A)  increase equilibrium price and quantity. 
B)  decrease equilibrium price and quantity. 
C)  decrease quantity and increase price. 
D)  increase quantity and decrease price. 
A)  increase equilibrium price and quantity. 
B)  decrease equilibrium price and quantity. 
C)  decrease quantity and increase price. 
D)  increase quantity and decrease price.

Question 10

Given the events listed below that take place in the corn market, decide if demand or quantity demanded changes and determine the direction of change.
a.The economy prospers and incomes rise dramatically.
b.The price of corn falls.
c.The price of pork increases, and corn is a significant input in the pork market.
d.The price of oats, a substitute for corn, falls.
e.The price of corn increases.
f.A new fertilizer comes on the market that leads to tremendous increases in corn productivity.

Accepted Answer

In economics, the terms "demand" and "qu

Question 11

How a supply curve is sloped and located is affected by:

Accepted Answer

A)  consumer preferences. 
B)  resource prices. 
C)  the number of consumers. 
D)  all of the above. 
A)  consumer preferences. 
B)  resource prices. 
C)  the number of consumers. 
D)  all of the above.

When the price of gas goes up and the demand for tires goes down, this means tires and gas are:

Demand is best defined as the:

Use the following to answer question(s): Demand and Supply of Wheat -(Exhibit: Demand and Supply of Wheat) If a price of $10 temporarily exists in this market, a:

A price below the equilibrium price will:

The Case in Point on obesity argues that agricultural innovation led to:

The relationship between the quantity of a good or service sellers are willing to offer for sale at different prices is:

A shift of a demand curve to the right, all other things unchanged, will:

How a supply curve is sloped and located is affected by:

Economics: The Study of Choice

Confronting Scarcity: Choices in Production

Applications of Supply and Demand

Elasticity: a Measure of Response

Markets, Maximizers, and Efficiency

The Analysis of Consumer Choice

Production and Cost

Competitive Markets for Goods and Services

Monopoly

The World of Imperfect Competition

Wages and Employment in Perfect Competition

Interest Rates and the Markets for Capital and Natural Resources

Imperfectly Competitive Markets for Factors of Production

Public Finance and Public Choice

Antitrust Policy and Business Regulation

International Trade

The Economics of the Environment

Inequality, Poverty, and Discrimination

Filters

Exam 3: Demand and Supply

When the price of gas goes up and the demand for tires goes down, this means tires and gas are:

Demand is best defined as the:

Use the following to answer question(s): Demand and Supply of Wheat -(Exhibit: Demand and Supply of Wheat) If a price of $10 temporarily exists in this market, a:

A price below the equilibrium price will:

The Case in Point on obesity argues that agricultural innovation led to:

The relationship between the quantity of a good or service sellers are willing to offer for sale at different prices is:

A shift of a demand curve to the right, all other things unchanged, will:

How a supply curve is sloped and located is affected by:

Economics: The Study of Choice

Confronting Scarcity: Choices in Production

Applications of Supply and Demand

Elasticity: a Measure of Response

Markets, Maximizers, and Efficiency

The Analysis of Consumer Choice

Production and Cost

Competitive Markets for Goods and Services

Monopoly

The World of Imperfect Competition

Wages and Employment in Perfect Competition

Interest Rates and the Markets for Capital and Natural Resources

Imperfectly Competitive Markets for Factors of Production

Public Finance and Public Choice

Antitrust Policy and Business Regulation

International Trade

The Economics of the Environment

Inequality, Poverty, and Discrimination

Filters