PFL & Eco Final Exam Part #1 (2024 Version)

Front

Veronica has been wearing a popular perfume for several years, and recently the price increased by $10. How will the price likely affect the quantity demanded and supplied? Options: Supply will decrease, and demand will increase; Supply will increase, and demand will decrease; Supply will increase, and demand will stay the same; Supply will stay the same, and demand will increase

Back

Supply will increase, and demand will decrease

Front

The price of airline flights increased recently. Some economists suggest that the price increased because there has been an increase in the number of business travelers. If the economists are correct, it must be the case that:

Back

Demand increased

Front

Looking at the graph below, the equilibrium quantity is _____ and the equilibrium price is _____

Back

175 bags and $0.60

Front

Looking at the graph below, a surplus of 30 bags of chocolate covered peanuts exists if the price is _____ per bag.

Back

$0.90

Front

When the demand for Halloween candy decreases after October 31st, what will happen to the price of the leftover candy?

Back

It will decrease

Front

Which of the following taxes are collected by state and local governments, but not by the federal government? Income tax, Sales tax, Social Security tax, Medicare tax

Back

Sales tax

Front

Contractionary fiscal policies address inflation and are intended to —

Back

Decrease the amount of money in circulation

Front

Federal Insurance Contributions Act (FICA) includes which of the following taxes? Food Stamp and unemployment benefits, Private medical insurance, Cryptocurrency, Medicare and Social Security

Back

Medicare and Social Security

Front

What is the opportunity cost of purchasing a computer when Jenny can only afford it and not a new television?

Back

A new television

Front

Scarcity is the most basic economic problem because

Back

resources are limited