Supply and Demand

Front

If the price of printers goes down, what happens in the market for ink cartridges?

Back

Demand increases.

Front

Generally speaking, the lower the price, the greater the quantity demand.

Back

True

Front

For the law of demand, as price rises, what happens to quantity demanded?

Back

it goes down

Front

For the law of supply, as price rises, what happens to quantity supplied?

Back

it goes up

Front

What will happen to the price of gas on a stretch of highway if two more gas stations open next to the first, with no change in demand?

Back

The price of gas will decrease because there is more competition among businesses.

Front

Why does LeBron James earn millions while school teachers earn much less?

Back

All of the choices: consumers enjoy basketball and spend money on it, the supply of superstar basketball players is low, and demand for LeBron James' talents is very high.

Front

What could cause the price for automobiles to decrease? Options: The local factory gives a big raise to its employees., None of the choices, A brand new automobile dealership opens in town., The price of gasoline falls.

Back

A brand new automobile dealership opens in town.

Front

If the cost of computers falls, then…

Back

the demand for computers goes up.

Front

What could cause the demand for airline travel to decrease?

Back

The price for traveling by airplane increases

Front

Farmers in California have had wonderful weather. They have produced the largest crop of watermelons in years. What will happen to the price of watermelons?

Back

The price will go down.