Practice Test, Chapter 3 Show Multiple Choice Identify the choice that best completes the statement or answers the question. ____ 1. The law of demand states that price and quantity demanded are
____ 2. At a price of $15, Marta buys 3 CD's per month. When the price increases to $20, Marta buys 2 CD's per month. Luz says that Marta's demand for CD's has decreased. Is Luz correct?
____ 3. If an increase in income results in an increase in the demand for chicken, then chicken is
____ 4. An increase in the number of buyers in an area will result in a
____ 5. As the price of good A rises, the demand for good B rises. Therefore, goods A and B are
____ 6. "As the price of apples goes up, the demand for apples goes down." The author of this statement
____ 7. If the workers of a firm successfully negotiate an increase in wages, which of the following is most likely to happen?
____ 8. Suppose the government decides that every family should own its own home. To bring this about, the government decides to subsidize the home-construction industry by giving the home-construction companies $10,000 for every house that they build. As a result of this,
____ 9. At a price below equilibrium price, there is
____ 10. On a supply-and-demand diagram, consider a price for which the horizontal distance to the supply curve exceeds the horizontal distance to the demand curve. There is a __________ at that price and we are clearly __________ the equilibrium price.
Exhibit 3-1 ____ 11. Refer to Exhibit 3-1. At a price of $2 there is a
____ 12. Refer to Exhibit 3-1. Which of the following statements is false?
____ 13. A rightward shift in the demand curve for tennis balls could be caused by
Exhibit 3-4 ____ 14. Refer to Exhibit 3-4. A price of $2 in the market will result in a
____ 15. An "increase in the quantity demanded" means that
Exhibit 3-5 ____ 16. Refer to Exhibit 3-5. In the market shown, the rightward shift in demand from D1 to D2 may have been caused by
Exhibit 3-6 ____ 17. Refer to Exhibit 3-6. If an increase in the price of good Y causes the demand for good X to shift from D1 to D2, goods X and Y are
Exhibit 3-7 ____ 18. Refer to Exhibit 3-7. If S1 is the relevant supply curve, an increase in the price of good X may cause
Exhibit 3-9 ____ 19. Refer to Exhibit 3-9. X is produced using input Z. If the price of Z rises, you expect a movement in the market for X from
____ 20. The law of supply does not hold when
Exhibit 3-11 ____ 21. Refer to Exhibit 3-11. The number of units exchanged at the price ceiling is
Practice Test, Chapter 3 Answer Section MULTIPLE CHOICE 1. ANS: B PTS: 1 DIF: Easy NAT: Analytic LOC: Supply and demand 2. ANS: C PTS: 1 DIF: Difficult NAT: Analytic LOC: Supply and demand 3. ANS: C PTS: 1 DIF: Moderate NAT: Analytic LOC: Supply and demand 4. ANS: D PTS: 1 DIF: Moderate NAT: Analytic LOC: Supply and demand NOT: NEW 5. ANS: C PTS: 1 DIF: Moderate NAT: Analytic LOC: Supply and demand 6. ANS: C PTS: 1 DIF: Difficult NAT: Analytic LOC: Supply and demand 7. ANS: D PTS: 1 DIF: Difficult NAT: Analytic LOC: Supply and demand NOT: NEW 8. ANS: D PTS: 1 DIF: Moderate NAT: Analytic LOC: Supply and demand 9. ANS: B PTS: 1 DIF: Easy NAT: Analytic LOC: Supply and demand 10. ANS: C PTS: 1 DIF: Difficult NAT: Analytic LOC: Supply and demand 11. ANS: B PTS: 1 DIF: Moderate NAT: Analytic LOC: Supply and demand 12. ANS: B PTS: 1 DIF: Moderate NAT: Analytic LOC: Supply and demand 13. ANS: B PTS: 1 DIF: Difficult NAT: Analytic LOC: Supply and demand 14. ANS: A PTS: 1 DIF: Moderate NAT: Analytic LOC: Supply and demand 15. ANS: C PTS: 1 DIF: Moderate NAT: Analytic LOC: Supply and demand 16. ANS: C PTS: 1 DIF: Moderate NAT: Analytic LOC: Supply and demand NOT: NEW. 17. ANS: C PTS: 1 DIF: Difficult NAT: Analytic LOC: Supply and demand 18. ANS: D PTS: 1 DIF: Moderate NAT: Analytic LOC: Supply and demand 19. ANS: C PTS: 1 DIF: Difficult NAT: Analytic LOC: Supply and demand 20. ANS: D PTS: 1 DIF: Moderate NAT: Analytic LOC: Supply and demand 21. ANS: A PTS: 1 DIF: Moderate NAT: Analytic LOC: Supply and demand When quantity supplied is less than quantity demanded the market price is likely to?If the market price is below the equilibrium price, quantity supplied is less than quantity demanded, creating a shortage. The market is not clear. It is in shortage. Market price will rise because of this shortage.
When quantity supplied is greater than the quantity demanded the market is said to exhibit?Terms in this set (20) When the quantity demanded of a good equals the quantity supplied, the market is said to be in equity. In economics, when quantity supplied is greater than quantity demanded, a shortage exists.
What is it called when the quantity demanded is not equal to the quantity supplied?in a market setting, disequilibrium occurs when quantity supplied is not equal to the quantity demanded; when a market is experiencing a disequilibrium, there will be either a shortage or a surplus.
What is shortage and surplus?Surplus refers to the amount of a resource that exceeds the amount that is actively utilized. On the other hand, shortage refers to a condition whereby there is an excess demand of products in comparison to the quantity supplied in the market.
|
When quantity supplied is less than the quantity demanded the market is said to exhibit
zusammenhängende Posts
Urheberrechte © © 2024 berikutyang Inc.
