Supply and Demand

What does this graph show?

• Shortage
• Surplus
• Supply Table
• Equilibrium

Which of the following would not cause as shift in demand?

• Decrease in income
• Lower supply
• Change in tastes
• Increase in price

Which of the following would cause a change in supply?

• A change in market price
• A change in technology available
• A change in the number of sellers
• All of the above

What is the difference between a demand schedule and a demand curve?

• A schedule is a graph and a curve is a table
• A schedule is written on paper and a curve is a 3d model
• A schedule is a table and a curve is a graph
• All of the above

What is market demand?

• The dividend of all individual demand
• The product of all individual demand
• The quotient of all individual demand
• The sum of all individual demand

An economist would probably state that in a market economy, prices are generally determined by the interaction between 

• buyers and sellers
• wholesalers and retailers
• producers and labor unions
• consumers and government officials

In economics, the term demand refers to the quantity of a good that people

• will buy at one particular price over a long time period
• would like to consume on a given date
• will buy at many different prices at a particular time
• would like to have available during a given time period

Which of the following is likely to increase the demand for peanut butter?

• Fewer children in the population
• News that insects have destroyed much of the peanut crop and that there will be less peanut butter on the shelves in three months.
• A big increase in the price of jelly.
• A report from the Surgeon General of the United States that eating peanut butter makes people nutty.

Summer is upon us, and people begin purchasing bathing suits in large numbers. What causes this change?

• Change in income
• Prices or availability of substitutes
• Change in the weather or season
• Change in the number of buyers

Thousands of people leave a small town due to a factory closing down.  Sales at the local grocery store become slow. What causes this change?

• Prices or availability of substitutes
• Prices or availability of complementary goods
• Change in the weather or season
• Change in the number of buyers