Economics: Supply an Demand

The law of demand argues that as prices rise

• the quantity demanded will fall

• the quantity demanded will rise

• the demand curve will shift to the right

• quantity demanded will fall due to a decrease in demand

The 'law of supply' suggests that

• price and quantity supplied are directly related

• price and quantity supplied are inversely related

• movements along the supply curve are caused by a price fall

• supply will expand until market equilibrium is reached

This part of the market determines DEMAND

• buyers
• sellers
• suppliers
• store owners

This part of the market determines SUPPLY

• buyers
• sellers
• consumers
• us

What does this curve represent?

• supply
• equilibrium
• demand
• surplus

The diagram represents a

• increase in demand
• decrease in demand
• change in quantity demand
• none of the above

What is the Equilibrium Price?

• 1
• 2
• 3
• 4

Which of the following will cause an increase in demand for snowboards?

• More costly production methods 
• A decrease in the price of lift tickets at resorts in Colorado 
• A decrease in consumer income   
• A decrease in the population 

The movement from Point A to Point B represents a(n)

• increase in the price.
• decrease in the quantity supplied.
• shift in the supply curve.
• Both Orange and Blue are correct.

Which of the following would not shift the supply curve for iphones?

• an increase in the price of iphones
• a decrease in the number of sellers of iphone
• an increase in the price of plastic, an input into the production of iphones
• an improvement in the technology used to produce iphones