Demand Quiz 17 (20 MCQs)

Quiz Instructions

Select an option to see the correct answer instantly.

1. Supply is best defined as the measure of how much producers are willing and able to sell

Correct Answer: C) At different prices at a particular time.

2. If farmers stopped growing potatoes because it was too hard, this would cause the ..... curve for Lays Potato Chips to shift .....

Correct Answer: D) Supply left.

3. Which of the following is a good that might not be bought when prices rise?

Correct Answer: A) A luxury, like an iPhone.

4. Babysitters across the country collectively organize to demand higher wages. What happens to the market for movie tickets?

Correct Answer: B) Demand decreases.

5. How many factors can cause a change in demand? (know one for the test)

Correct Answer: C) 6.

6. The demand for necessities such as milk, electricity, and water is usually

Correct Answer: B) Inelastic.

7. What happens when consumers react to an increase in a good's price by consuming less of that good and more of other goods?

Correct Answer: C) Substitution effect.

8. A table that shows the quantity of goods that consumers are willing and able to purchase at various prices.

Correct Answer: C) Demand schedule.

9. If the price of a product decreases, the quantity demanded will

Correct Answer: A) Increase.

10. Because a modest price increase has little or no effect, the demand for the product is

Correct Answer: B) Inelastic.

11. An automobile company based out of China starts selling its cars in the United States. Why would the supply change?

Correct Answer: B) Changes in number of producers.

12. An increase or decrease in the amount demanded because of the change in price

Correct Answer: B) Change in quantity demanded.

13. Lists quantities of goods consumers are willing and able to buy at various prices; as price goes up, demand goes down.

Correct Answer: A) Demand Schedule.

14. The sum of fixed and variable costs

Correct Answer: C) Total Costs.

15. An increase in the price of almond milk is likely to be paired with a(n) ..... in the demand for milk because the two goods are .....

Correct Answer: B) Increase; substitutes.

16. Which of the following statements is true regarding markup?

Correct Answer: B) Markup must be sufficient to cover operating expenses and allow profit.

17. Which of the following goods would be likely to be bought in the same quantity even if it doubled in price?

Correct Answer: C) Pencils.

18. Disco platform shoes are no longer "cool" to wear. How does this affect the demand of platform shoes??

Correct Answer: B) Decrease.

19. What direction does supply/demand have to shift in order to affect an item's market price?

Correct Answer: D) Any.

20. What assumption is used when making demand curves?

Correct Answer: A) All economic factors remain constant except price.