Question 1

If demand rises and supply rises,equilibrium price will _____ and equilibrium quantity will _____.

Accepted Answer

rise,fall,...

Question 2

In general demand curves slope _____ and supply curves slope _____.

Accepted Answer

A)  downward to the right,downward to the right
B)  upward to the right,upward to the right
C)  downward to the right,upward to the right
D)  upward to the right,downward to the rightE) All of the above
F) A) and D)

Question 3

To change the definition of demand to the definition of supply,all we would need to do is change the word _____ to _____.

Accepted Answer

The answer of To change the definition of demand to...

Question 4

There is a shortage of quantity demanded over quantity supplied when

Accepted Answer

A)  market price is above equilibrium price.
B)  market price equals equilibrium price.
C)  market price is below equilibrium price.D) A) and C)
E) A) and B)

Question 5

-A)Is $16 a price ceiling or a price floor in the above graph?
B)Is there a shortage or a surplus?
C)How much is this shortage or surplus?

Accepted Answer

A)Ceiling
...

Question 6

-Draw in a new supply curve,S1,on figure,showing an increase in supply.What happens to price and quantity?

Accepted Answer

<img  loading="lazy" src="/assets/images/blured-textbook.svg" class="d-inline m-1" alt="blured image" width="139" height="30"> Equilibrium price f...

Question 7

-In the graph shown above,if market price were $6,there would be

Accepted Answer

A)  a surplus.
B)  a shortage.
C)  a surplus and a shortage.
D)  neither a surplus nor a shortage.E) A) and B)
F) None of the above

Question 8

If supply falls,what happens to equilibrium price and quantity?

Accepted Answer

Price rise...

Question 9

It is necessary to ration a good whenever ___________ exists.

Accepted Answer

A)  a surplus
B)  excess demand
C)  excess supply
D)  None of these choices are correct.E) None of the above
F) C) and D)

Question 10

-If the government set a price ceiling at $8

Accepted Answer

A)  there would be a temporary surplus,then prices would fall to equilibrium.
B)  there would be a permanent surplus,at least until the price floor was lifted.
C)  the price would fall back to the equilibrium price.
D)  the price floor would not have any effect on this market.E) B) and C)
F) All of the above

Question 11

The _____________ is constantly sending buyers and sellers thousands of signals.

Accepted Answer

A)  price ceiling
B)  price floor
C)  price system
D)  None of these answers are correct.E) C) and D)
F) None of the above

Question 12

If the government legislates a price ceiling that is above the equilibrium price

Accepted Answer

A)  a shortage will develop.
B)  some non-price method of rationing will develop.
C)  market price and quantity sold will be unaffected.
D)  a surplus will develop.E) B) and C)
F) A) and B)

Question 13

When quantity supplied equals quantity demanded,

Accepted Answer

A)  there is disequilibrium.
B)  the market is cleared.
C)  there is excess quantity demanded.
D)  there is excess quantity supplieD.E) C) and D)
F) A) and B)

Question 14

If price were $20,there would be _____ (shortage or surplus)of about ________.

Accepted Answer

The answer of If price were $20,there would be _____...

Question 15

What happens to quantity demanded when price is lowered?

Accepted Answer

A)  It rises
B)  It falls
C)  It stays the same
D)  It cannot be determined if it rises,falls,or stays the sameE) None of the above
F) All of the above

Question 16

When there is a shortage

Accepted Answer

A)  quantity demanded is greater than quantity supplied.
B)  quantity supplied is greater than quantity demanded.
C)  quantity demanded is equal to quantity supplied.D) A) and B)
E) A) and C)

Question 17

When supply falls and demand remains the same,equilibrium price _____ and equilibrium quantity ________.

Accepted Answer

A)  rises,rises
B)  falls,falls
C)  falls,rises
D)  rises,fallsE) C) and D)
F) A) and B)

Question 18

When demand falls and supply stays the same,

Accepted Answer

A)  equilibrium quantity rises.
B)  equilibrium quantity falls.
C)  equilibrium quantity stays the same.D) A) and B)
E) A) and C)

Question 19

If quantity supplied is less at each price,we say that there has been

Accepted Answer

A)  an increase in supply.
B)  an increase in demand.
C)  a decrease in supply.
D)  a decrease in demanD.E) B) and C)
F) None of the above

Question 20

When there is a price floor there will be

Accepted Answer

A)  a shortage.
B)  a surplus.
C)  either a shortage or a surplus.
D)  neither a shortage nor a surplus.E) A) and B)
F) A) and C)

Exam 4: Supply and Demand

-If the government set a price ceiling at $8

Correct AnswerverifiedShow Answer

If the government legislates a price ceiling that is above the equilibrium price

Correct AnswerverifiedShow Answer

-In the graph shown above,if market price were $6,there would be

Correct AnswerverifiedShow Answer

To change the definition of demand to the definition of supply,all we would need to do is change the word _____ to _____.

Correct AnswerverifiedShow Answer

If price were $20,there would be _____ (shortage or surplus)of about ________.

Correct AnswerverifiedShow Answer

When demand falls and supply stays the same,

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If supply falls,what happens to equilibrium price and quantity?

Correct AnswerverifiedPrice rise...View AnswerShow Answer

If demand rises and supply rises,equilibrium price will _____ and equilibrium quantity will _____.

Correct Answerverifiedrise,fall,...View AnswerShow Answer

If quantity supplied is less at each price,we say that there has been

Correct AnswerverifiedShow Answer

When quantity supplied equals quantity demanded,

Correct AnswerverifiedShow Answer

There is a shortage of quantity demanded over quantity supplied when

Correct AnswerverifiedShow Answer

When supply falls and demand remains the same,equilibrium price _____ and equilibrium quantity ________.

Correct AnswerverifiedShow Answer

The _____________ is constantly sending buyers and sellers thousands of signals.

Correct AnswerverifiedShow Answer

-Draw in a new supply curve,S1,on figure,showing an increase in supply.What happens to price and quantity?

Correct Answerverified Equilibrium price f...View AnswerShow Answer

When there is a price floor there will be

Correct AnswerverifiedShow Answer

-A)Is $16 a price ceiling or a price floor in the above graph? B)Is there a shortage or a surplus? C)How much is this shortage or surplus?

Correct AnswerverifiedA)Ceiling...View AnswerShow Answer

When there is a shortage

Correct AnswerverifiedShow Answer

It is necessary to ration a good whenever ___________ exists.

Correct AnswerverifiedShow Answer

In general demand curves slope _____ and supply curves slope _____.

Correct AnswerverifiedShow Answer

What happens to quantity demanded when price is lowered?

Correct AnswerverifiedShow Answer

Correct Answer
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To change the definition of demand to the definition of supply,all we would need to do is change the word _ to _.

Correct Answer
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If price were $20,there would be _ (shortage or surplus)of about ____.

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Price rise...
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If demand rises and supply rises,equilibrium price will _ and equilibrium quantity will _.

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rise,fall,...
View Answer

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When supply falls and demand remains the same,equilibrium price _ and equilibrium quantity ____.

Correct Answer
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Equilibrium price f...
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A)Ceiling
...
View Answer

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In general demand curves slope _ and supply curves slope _.

Correct Answer
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Correct Answer
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