Question 1

The law of supply states that, all else held equal, quantity supplied rises as:

Accepted Answer

The law of supply states that, all else being equal, the quantity of a good supplied increases as its price increases. This is because higher prices can cover the higher costs of production and incentivize producers to supply more of the good.

Question 2

Suppose the graph shown depicts the demand for a normal good. A shift from A to B might be caused by:

Accepted Answer

The answer of  Suppose the graph shown depicts the...

Question 3

Assume the graph shown represents the market for button-up shirts and was originally in equilibrium where demand (D)and supply (S)intersect. What type of shock might cause the demand curve to shift to D₂?

Accepted Answer

The answer of  Assume the graph shown represents the...

Question 4

The supply curve represents the relationship between _____, all else held constant.

Accepted Answer

The supply curve represents the relationship between price and quantity supplied, all else held constant. This means that it shows the quantity of a good or service that producers are willing and able to sell at various prices, assuming that other factors such as input prices, technology, and government policies remain the same.

Question 5

A table that shows the quantities of a particular good or service that producers are willing to sell (supply)at various prices is known as a supply:

Accepted Answer

A supply schedule is a table that shows the quantities of a particular good or service that producers are willing to sell at various prices. It lists the quantity supplied at each price point, allowing for easy comparison between different price levels. The other options (B, C, and D) refer to visual representations of supply, whereas a supply schedule is a simple numerical representation.

Question 6

What assumption does the supply schedule make?

Accepted Answer

The supply schedule assumes that all factors other than price, such as input costs, technology, and government policies, remain constant. This allows for a clear understanding of the relationship between price and quantity supplied.

Question 7

The law of supply is described as the:

Accepted Answer

The law of supply states that there is a direct relationship between price and quantity supplied; as the price of a good or service increases, the quantity supplied will also increase, and vice versa.

Question 8

What is a supply curve?

Accepted Answer

The supply curve is a graphical representation that visually displays the supply schedule, showing the relationship between the price of a good and the quantity of that good that suppliers are willing to produce and sell.

Question 9

How should you plot a supply curve on a coordinate system diagram?

Accepted Answer

The conventional way to plot a supply curve in economics is to place quantity on the horizontal axis and price on the vertical axis. This setup helps in understanding the relationship between the price of a good and the quantity supplied.

Question 10

For almost all goods, the _____ the price goes, the _____.

Accepted Answer

This is the basic law of supply, which states that there is a direct relationship between price and quantity supplied. As the price of a good increases, producers are more willing and able to supply more of that good to the market.

Question 11

Supply describes how much of something producers:

Accepted Answer

Supply refers to the amount of a good or service that a producer is willing and able to offer for sale at different prices, given various circumstances such as the cost of production, technology, and competition. Therefore, option C is the best choice as it accurately reflects the definition of supply.

Question 12

The amount of a particular good that sellers in a market will sell at a given price during a specified period is called:

Accepted Answer

Quantity supplied refers to the amount of a particular good that sellers in a market are willing to sell at a given price during a specified period. Quantity demanded, on the other hand, refers to the amount of a particular good that buyers in a market are willing to purchase at a given price during a specified period. Demand and supply refer to the overall behavior and factors influencing buyers and sellers in the market.

Question 13

Wendell just read an article claiming scientists have proven that processed cheese food increases brain power. We would expect Wendell's demand for processed cheese food to _____ and his demand curve to shift to the _____.

Accepted Answer

With the claim that processed cheese food increases brain power, Wendell's demand for it is likely to increase, shifting his demand curve to the right.

Question 14

Which of the following statements about the supply curve is not true?

Accepted Answer

The supply curve does not illustrate how many consumers want to purchase goods and services; it represents the willingness and ability of producers to sell at different prices. The demand curve represents how many consumers want to purchase goods and services at different prices.

Question 15

Juan goes to his favorite store to buy a shirt, and while he's shopping he spots a sign indicating that all shirts will be on sale starting tomorrow. We would expect Juan's current demand for sweaters to:

Accepted Answer

The announcement of the sale starting tomorrow will make Juan wait to purchase the shirt, so his demand curve for sweaters will shift to the left.

Question 16

The supply curve is a(n)_____ line that reflects the _____ relationship between price and quantity supplied.

Accepted Answer

The supply curve is upward-sloping because it reflects a direct relationship between price and quantity supplied: as the price increases, the quantity supplied also increases.

Question 17

Assume the market in the graph shown was originally at equilibrium where demand (D)and supply (S)intersect. However, something causes the demand to shift to D₂. What could have caused such a shift?

Accepted Answer

The answer of  Assume the market in the graph...

Question 18

Suppose the graph shown depicts the demand for a normal good. Pasua was originally consuming at point A, but after receiving a raise at work her demand may:

Accepted Answer

The answer of  Suppose the graph shown depicts the...

Question 19

Ren loves to go to the movies, and he just learned that he can buy a ticket at a discounted price using his student ID. Ren now sees movies at the theater even more frequently. The change in Ren's behavior would be shown graphically by a:

Accepted Answer

The answer of Ren loves to go to the movies,...

Question 20

Suppose the graph shown depicts the demand for a normal good. A shift from B to A might be caused by:

Accepted Answer

The answer of  Suppose the graph shown depicts the...

Quiz 3: Markets

The law of supply states that, all else held equal, quantity supplied rises as:

Suppose the graph shown depicts the demand for a normal good. A shift from A to B might be caused by:

Assume the graph shown represents the market for button-up shirts and was originally in equilibrium where demand (D) and supply (S) intersect. What type of shock might cause the demand curve to shift to D₂?

The supply curve represents the relationship between _____, all else held constant.

A table that shows the quantities of a particular good or service that producers are willing to sell (supply) at various prices is known as a supply:

What assumption does the supply schedule make?

The law of supply is described as the:

What is a supply curve?

How should you plot a supply curve on a coordinate system diagram?

For almost all goods, the _ the price goes, the _.

Supply describes how much of something producers:

The amount of a particular good that sellers in a market will sell at a given price during a specified period is called:

Wendell just read an article claiming scientists have proven that processed cheese food increases brain power. We would expect Wendell's demand for processed cheese food to _ and his demand curve to shift to the _.

Which of the following statements about the supply curve is not true?

Juan goes to his favorite store to buy a shirt, and while he's shopping he spots a sign indicating that all shirts will be on sale starting tomorrow. We would expect Juan's current demand for sweaters to:

The supply curve is a(n) _ line that reflects the _ relationship between price and quantity supplied.

Assume the market in the graph shown was originally at equilibrium where demand (D) and supply (S) intersect. However, something causes the demand to shift to D₂. What could have caused such a shift?

Suppose the graph shown depicts the demand for a normal good. Pasua was originally consuming at point A, but after receiving a raise at work her demand may:

Ren loves to go to the movies, and he just learned that he can buy a ticket at a discounted price using his student ID. Ren now sees movies at the theater even more frequently. The change in Ren's behavior would be shown graphically by a:

Suppose the graph shown depicts the demand for a normal good. A shift from B to A might be caused by:

Quiz 3: Markets

The law of supply states that, all else held equal, quantity supplied rises as:

Suppose the graph shown depicts the demand for a normal good. A shift from A to B might be caused by:

Assume the graph shown represents the market for button-up shirts and was originally in equilibrium where demand (D) and supply (S) intersect. What type of shock might cause the demand curve to shift to D2?

The supply curve represents the relationship between _____, all else held constant.

A table that shows the quantities of a particular good or service that producers are willing to sell (supply) at various prices is known as a supply:

What assumption does the supply schedule make?

The law of supply is described as the:

What is a supply curve?

How should you plot a supply curve on a coordinate system diagram?

For almost all goods, the _____ the price goes, the _____.

Supply describes how much of something producers:

The amount of a particular good that sellers in a market will sell at a given price during a specified period is called:

Wendell just read an article claiming scientists have proven that processed cheese food increases brain power. We would expect Wendell's demand for processed cheese food to _____ and his demand curve to shift to the _____.

Which of the following statements about the supply curve is not true?

Juan goes to his favorite store to buy a shirt, and while he's shopping he spots a sign indicating that all shirts will be on sale starting tomorrow. We would expect Juan's current demand for sweaters to:

The supply curve is a(n) _____ line that reflects the _____ relationship between price and quantity supplied.

Assume the market in the graph shown was originally at equilibrium where demand (D) and supply (S) intersect. However, something causes the demand to shift to D2. What could have caused such a shift?

Suppose the graph shown depicts the demand for a normal good. Pasua was originally consuming at point A, but after receiving a raise at work her demand may:

Ren loves to go to the movies, and he just learned that he can buy a ticket at a discounted price using his student ID. Ren now sees movies at the theater even more frequently. The change in Ren's behavior would be shown graphically by a:

Suppose the graph shown depicts the demand for a normal good. A shift from B to A might be caused by:

Assume the graph shown represents the market for button-up shirts and was originally in equilibrium where demand (D) and supply (S) intersect. What type of shock might cause the demand curve to shift to D₂?

For almost all goods, the _ the price goes, the _.

Wendell just read an article claiming scientists have proven that processed cheese food increases brain power. We would expect Wendell's demand for processed cheese food to _ and his demand curve to shift to the _.

The supply curve is a(n) _ line that reflects the _ relationship between price and quantity supplied.

Assume the market in the graph shown was originally at equilibrium where demand (D) and supply (S) intersect. However, something causes the demand to shift to D₂. What could have caused such a shift?