Economics - Chapter 17 - EZ test online by Doug Fletcher Flashcards
To study for Econmics test chapters 17 - 21
As the price of an item goes up, the quanitity demanded
- ..rises
- ..falls
- ..remains the same
Falls
The law of demand holds
- ..for individuals, but not for markets
- ..for markets, but not for individuals
- ..for both individuals and for markets
- ..for neither invidiuals nor for markets
for both individuals and for markets
When we go from one demand curve to another, there has definitely been ..
- ..a change in quantity demanded
- .. a change in demand
- ..an increase in demand
- ..a decrease in demand
a change in demand
Changes in demand are caused by each of the following except…
- ..changes in income
- ..changes in prices of related goods and services
- ..changes in tastes and preference
- ..changes in supply
changes in supply
As income falls, the demand for normal goods _______ and the demand for inferior goods _________________
- ..falls, falls
- ..rises, rises
- ..falls, rises
- ..rises, falls
falls, rises
A move from E to F represents…
- ..an increase in quantity demanded
- ..a decrease in quantity demanded
- ..an increase in demand
- ..a decrease in demand
a decrease in demand
A move from F (mark on bottom diagonal line of graph) to G (a lower mark on the diagonal line on the graph) represents.. .
- .a change in quantity demanded .
- .a change in demand .
- .an increase in demand .
- .a decrease in demand
a change in quantity demanded
As income rises, the demand for inferior goods ..
- rises .
- .falls ..
- stays about the same ..
- cannot be determined
falls
Whe the demand for CD’s rises, buyers will purchase more CD’s at.. .
- .all prices …
- some prices ..
- no prices
all prices
If good A and good B are substitues and the price of good A decreases the demand for good B will ..
- not change ..
- decrease .
- .increase .
- .become nonexistent
decrease
A drop in the price of oil will result in ..
- an increase in the demand for oil ..
- a decrease in the demand for oil .
- .an increase in the quantity of oil demanded ..
- a decrease in the quantity of oil demanded ..
- both an increase in the demand and an increase in the quantity demanded
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 ..
- as its own price decreases ..
- as the price of close subsitutes decreases ..
- as the total number of consumers increases ..
- as a reflection of changing consumer tastes
as the income of consumers increases
An increase in the price of Coors is likely to cause… ..
- a decrease in the demand for Coors ..
- a decrease in the demand for Budweiser ..
- an increase in the demand for Budweiser ..
- an increase in the demand for Coors
an increase in the demand for Budweiser
What is NOT a complement for automobiles? ..
- gasoline to run the car .
- .price of the car .
- .the insurance for the car .
- .the cost of financing the car ..
- the cost of periodic maintenance
price of the car
If beans are inferior goods, a decrease in income will cause..what shift on the demand curve? ..
- cause beans to sell at a lower price
- increase the production of beans .
- .shift the demand curve for beans to the left ..
- shift the demand curve for beans ot the right ..
- rotate the supply curve in a clockwise manner
a shift in the demand curve for beans to the right
If the price of Diet Pepsi rises, what happens to the price of Diet coke? ..
- it will rise .
- .it will fall .
- it will remain the same .
- .there is no way of telling what will happen to the price
It will rise
Chicken and pork are substitutes. Other things being equal, what will an increase in the price of chicken cause?
- put downward pressure on the price of pork
- have no effect on the demand of pork
- increase the demand for pork
- decrease the demand for pork
Increase the demand for pork
Computers and computer software are complements. A decrease ine the price of computers is likely to cause..
- decrease the demand for computers
- decrease the demand for computer software
- increase the demand for computers
- increase the demand for computer software
an increase in the demand for computer software
. A move from E to F represents on the graph represents:
- an increase in quantity demanded
- a decrease in quantity demanded
- an increase in demand
- a decrease in demand
a decrease in demand
A move from F to G on the same graphed line represents
- a change in quantity demanded
- a change in demand
- an increase in demand
- a decrease in demand
a change in quantity demanded
When Pope Paul VI issued a decree allowing American Catholic bishops to end year-round meatless Fridays, except during Lent, the effect in terms of supply and demand , was to cause what?
- an increase in demand
- a decrease in demand
- an increase in supply
- a decrease in supply
a decrease in demand
If coffee is a substitute for tea, and the price of coffee rises, what will happen ?
- demand for tea will decrease
- demand for tea will increase
- the quanity demanded of coffee will rise
- the quantity demanded of tea will decrease
demand for tea will increase
A move from a lower line labeled D1 to a higher line labled D2 is a(n)
- an increase in quantiity demanded
- a decrease in quantity demanded
- an increase in demand
- a decrease in demand
an increase in demand
All of the following could shift the demand curve except?
- a change in the price of substitutes
- a shift of the supply curve
- a rise in income
- a rise in population that buys the good
a shift of the supply curve
