+1 (347) 474-1028 info@essayparlour.com

What occurs in the market for romance… Show more Help with

Paper help Economics What occurs in the market for romance… Show more Help with

Economics

What occurs in the market for romance… Show more Help with

What occurs in the market for romance… Show more Help with these supply and demand questions. 1. What occurs in the market for romance novels if the price of paper rises by 20%? The supply of romance novels shifts left. The supply of romance novels shifts right. The demand for romance novels shifts left. The demand for romance novels shifts right. 2. If current quantity demanded is 500 and current quantity supplied is 1,000, this is an indication that: the current price is below the equilibrium price. producers are not responsive to price changes. the current price is above the equilibrium. consumers of this particular item do not buy less of it when its price increases. 3. The use of the phrase “other things equal” in supply and demand analysis indicates that: an equilibrium price has been reached. an equilibrium quantity has been reached. factors other than the one under consideration are kept constant. we are considering all the changes which might take place in actual markets. 4. Which of the following is a shift factor of supply? Suppliers’ preferences for the good they produced Consumers’ income Consumers’ expectations about the price of the good in the future Available technology 5. Suppose that the following table shows the supply and demand schedules for Arabian light crude oil on the free market: Given the information in the table, the only price at which there is neither shortage nor surplus is: $26 per barrel. $27 per barrel. $28 per barrel. $29 per barrel. 6. Refer to the graph below. The quantity that would be associated with the price of $2 in a demand table would be: 6 5 4 3 7. The law of supply states that quantity supplied increases as price increases, other things constant. quantity supplied decreases as price increases, other things constant. more of a good will be supplied the higher its price, other things changing proportionately. less of a good will be supplied the higher its price, other things changing proportionately. 8. An increase in the price of pants will: increase the supply of pants. increase the quantity supplied of pants. decrease the supply of pants. decrease the quantity supplied of pants. 9. If there is an improvement in technology one would expect a movement along the supply curve. a shift upward (or to the left) of the supply curve. a shift downward (or to the right) of the supply curve. a movement down along the supply curve. 10. An increase in the number of consumers in a market causes market demand to: decrease, resulting in a surplus which will be eliminated as price rises. decrease, resulting in a surplus which will be eliminated as price falls. increase, resulting in a shortage which will be eliminated as price rises. increase, resulting in a shortage which will be eliminated as price falls. 11. Refer to the graph below. The effect of an increase in price is best shown by which arrow? A B C D 12. Suppose the supply and demand tables below reflect the supply and demand for milk per week. What is the equilibrium price and quantity of milk? $1 per gallon and 2000 gallons per week. $2 per gallon and 1500 gallons per week. $3 per gallon and 2000 gallons per week. $4 per gallon and 2000 gallons per week. 13. A change in the price of carrots will cause a movement along the demand for carrots curve and a shift in the demand for substitute vegetables. True. False 14. An improvement in the technology for producing a good will shift the supply curve for that good to the right. True False 15. Suppose the supply and demand tables below reflect the supply and demand for milk per week. At a price of $1, there is a: surplus of 500 gallons per week. surplus of 1000 gallons per week. shortage of 2500 gallons per week. shortage of 1000 gallons per week. 16. The more the equilibrium price exceeds the current price: the greater the resulting shortage will be. the smaller the resulting shortage will be. the greater the resulting surplus will be the smaller the resulting surplus will be 17. According to the law of demand, the price of a good influences the amount people will choose to purchase. True False 18. The law of demand states that: 1. sellers supply less of a good when its price increases. 2. consumers buy less of a good when its price increases only if their income increases at the same time. 3. consumers buy less of a good when its price increases even if other demand determinants change at the same time. 4. consumers buy less of a good when its price increases, provided all shift factors of demand are fixed. 19. When quantity supplied is greater than quantity demanded: 1. prices tend to fall. 2. prices tend to rise. 3. the supply curve shifts leftward. 4. the demand curve shifts rightward. 20. Refer to the graph below. If the price is changed from $12.00 to $4.00, how much more is demanded? 2 4 6 8 • Show less

Order Now

Ready to try a high quality writing service? Get a discount here