Supply Quiz 10 (8 MCQs)

Quiz Instructions

Select an option to see the correct answer instantly.

1. According to the Law of Supply, as prices fall .....

Correct Answer: B) Quantity supplied falls.

2. The price of turkey rises! What happens to the market for chicken?

Correct Answer: A) Demand Increase.

3. What affect will new taxes on producers usually have on the supply and supply curve?

Correct Answer: B) Decreases supply, supply curve shifts left.

4. What is the government controlled price ceiling on apartment prices called?

Correct Answer: C) Rent control.

5. The ease of changing production to respond to price changes determines

Correct Answer: C) How elastic the product is.

6. As price goes up, the quantity supplied of a good .....

Correct Answer: D) Goes up.

7. An increase in labour costs will result in .....

Correct Answer: C) A shift inwards of the supply curve.

8. Even though gas prices have gone up 20 cents per gallon, Tim continues to buy the same amount of gas. This is an example of which type of demand?

Correct Answer: A) Inelastic.