Unit 3 Demand, Supply, and Prices Test

Front

Which is shown by the intersection of the supply curve and the demand curve?

Back

The equilibrium price of a good or service.

Front

In which situation would the price of the hardwood flooring we are producing most likely increase? A. A new technology allows us to increase our output and produce twice as much hardwood flooring in one day than before. B. New companies have joined the market to produce hardwood flooring giving us more competition in our industry. C. There is not a situation in which the price of our hardwood flooring would increase. D. An increase in production costs results from a rise in wages.

Back

An increase in production costs results from a rise in wages.

Front

Which accurately describes a shortage? A. Consumer demand for a certain television is greater than the number of televisions produced. B. Consumer demand for a certain television is below the number of televisions produced. C. There are way too many Halloween items on the shelves at Target so Target puts all of the Halloween items on clearance.

Back

Consumer demand for a certain television is greater than the number of televisions produced.

Front

Which is more scarce, a painting by Van Gogh or a box of Pop-tarts?

Back

The painting by Van Gogh because it is a one of a kind.

Front

In economics, demand is the desire to own something and the ability to pay for it.

Back

True

Front

Which of the following can be defined as the amount of a good or service that will be purchased at a particular price? Quantity demanded, Quantity supplied, Demand, Supply

Back

Quantity demanded

Front

According to the law of demand, when the price of pizza goes up...

Back

consumers will buy less pizza.

Front

According to the Supply Curve above, if a pizzeria is selling each slice of pizza for $1.00, how many slices per day (output) is the pizzeria producing?

Back

1,000

Front

Normal goods are goods that people buy more of as their wealth increases, for example shoes, cars, etc. True or False?

Back

True

Front

If you were to purchase concert tickets for the Taylor Swift concert for you and your sibling, what category of good would the ticket fall into?

Back

Private Goods