Spring '25 Economics Unit 2 Test Review

Front

Demand is the _________ to have a good or service AND the _____________ to pay for it.

Back

Desire, ability

Front

True or False: When price goes up, quantity demanded goes down

Back

True

Front

What's the name for the table that shows how much of a good or service an individual consumer is willing and able to purchase at each price in a market?

Back

Demand Schedule

Front

What's the law that says the marginal benefit from using each additional unit of a good or service during a given time period tends to decline as each is used?

Back

Law of Diminishing Marginal Utility

Front

Which of these is NOT a reason that the demand curve is downward sloping? Technology, Law of Diminishing Marginal Utility, Substitute Effect, Income Effect

Back

Technology

Front

Which of the following is NOT true about a change in Quantity Demanded?
Change in quantity demanded does not shift the curve itself
Change in quantity demanded is shown by a new point on the demand curve
Change in quantity demanded happens when a change in price changing the amount of a product that consumers will buy
Change in quantity demanded will move the curve--at all price points--to a different position.

Back

Change in quantity demanded will move the curve--at all price points--to a different position.

Front

When someone's income goes up, usually the entire demand curve will shift to the right. Which of the following is the exception to this rule? Normal Goods, Inferior Goods, Complementary Goods, Elastic Goods

Back

Inferior Goods

Front

Which of the following is true about Consumer Expectations? Consumer Expectations is about the perceived quality of a product and the actual quality, Consumer Expectations is about the quality expected from a brand, Consumer Expectations is about expected future price changes, Consumer Expectations is about the time it will take a producer to improve technology

Back

Consumer Expectations is about expected future price changes

Front

Which of these would be a Substitute Good for gold? Silver, Iron, Peanut Butter, Puppy

Back

Silver

Front

Which of the following is the best example of complementary goods?
Charmin brand toilet paper & walmart brand toilet paper,
Hot dogs & hot dog buns,
Fruit Gummies & Juice Boxes,
Potato Chips & Napkins

Back

Hot dogs & hot dog buns