Chapter 17 Flashcards
The law of demand holds
For both individuals and markets.
When we go from one demand curve to another, there has definitely been
A change in demand
Changes in demand are caused by each of the following except
Changes in supply
As income falls, the demand for normal goods——– and the demand for inferior goods——-.
Falls and rises
A move from e to f represents
A decrease in demand
A move from f to g represents
A change in quantity demanded
As income rises the demand for inferior goods
Falls
When there demand for CD’s rises, buyers will purchase more CD’s at
All prices
If good A and good B are substitutes and the price of good A decreases, the demand for good B will
Decreases
A drop in the price of oil will result in
An increase in the quantity of oil demanded
A normal good is defined as a good for which demand increases
As the income of consumers increases
An increase in the price of colors is likely to cause
An increase in the demand for Budweiser
Which of the following is not a complement for automobiles?
Price of the car
If beans are inferior goods, a decrease in income will
Shift the demand curve for beans to the right
If the price of edit Pepsi rises, what happens to the price of the diet Come?
It will rise.
Chicken and pork are substitutes. Other things being equal, an increase in he price of chicken
Increase the demand for pork.
Computers and computer software are complements. A decrease in the price of computers is likely to
Increase the demand for computer software
A move from E to F represents
A decrease in demand
A move from F to G represents
A change in quantity demanded.
When pop Paul VI issued a degree allowing American Catholic bishops to end year round meatless Friday’s, except during Lent, the effect in terms of supply and demand was to cause
A decrease in demand
If coffee is a substitute for Tea, the price of coffee rises, what will happen?
Demand for tea will increase.
A move from D1 to D2 is an——–.
An increase in demand
All of the following could shift the demand curve except?
A shift of the supply curve
A shift in the demand curve for gasoline would occur if
People decided to travel more by car.
As the price of an item goes up, the quantity demanded ——-.
Falls
