Exam 3: Demand and Supply

Suppose that goods X and Y are substitutes and the price of good Y falls.We would then expect

The market supply curve for a good or service is found by

An inferior good is one for which

Table 3-2 -According to Table 3-2,at a price of $2 per unit,which of the following would occur?

When the price of beef rises,the demand for chicken increases because beef and chicken are

An expected increase in the price of automobiles will lead to

The expectation of a future increase in the price of gasoline is likely to

Which of the following will shift today's supply curve to the right?

Which of the following statements about a supply curve is TRUE?

A shortage will occur when

Other things being equal,the relationship between price and quantity supplied is

The price of a new textbook increases from $60 to $75 while over the same period the price of a used textbook increased by 25 percent.What happened to the relative price of a used textbook?

Shortages occur because

Adding the quantities of a good or service demanded by each consumer at every price will yield

The term ceteris paribus means ________.

Two goods are substitutes if

For typical goods and services,supply curves are

Sarah gets a raise in pay of twenty percent.Before her raise,she purchased 5 kilograms of hamburger and 1 kilogram of steak a month.After her raise,she consumes 3 kilograms of steak and 2 kilograms of hamburger a month.If no other relevant influence has changed,we know that for Sarah

When the actual price is above the equilibrium price there will be

Figure 3-2 -According to Figure 3-2,a shortage will occur at any price for which