Supply, Demand, and Equilibrium Assessment Questions

Front

According to the law of demand, a decrease in price

Back

Does not shift the demand curve, but results in a movement ALONG the demand curve showing an increase in qty demanded.

Front

All of the following will shift the demand curve for oranges to the RIGHT except: An increase in the price of apples, a substitute for oranges. A new study shows that drinking fresh orange juice reduces the likelihood of kidney stones. A new technology for orange picking makes harvesting oranges cheaper. Consumers expect higher prices for oranges next month due to hurricanes destroying crops. All of the above shift the demand curve to the RIGHT

Back

A new technology for orange picking makes harvesting oranges cheaper.

Front

According to the law of supply, sellers will be more likely to increase their quantity supplied when

Back

When the selling price increases.

Front

When the quantity demanded is less than the quantity supplied, there is a

Back

Surplus