OCR GCSE Economics - 2.2 - Demand

Which of these best describes the law of demand?

• If prices go up, quantity demanded fall and if prices go down, quantity demanded will go up

• If prices go up, quantity demanded will also go up and if prices go down, quantity demanded will also go down

• There is no law of demand, each situation is unique and demand and prices cannot be predicted

• Prices will go up for certain goods when quantity demanded goes up and vice versa

The quantity demanded of a good or service changes at all price levels best describes the concept of

• Change in quantity demanded

• Elasticity

• Change in demand

• Demand curve

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

A new study has shown that avocados are extremely healthy. The demand for avocados has increased due to a change in

• Market size

• Price of a substitute good

• Price of a complementary good

• Tastes and preferences

A recent scandal in which 1 million fake Chanel handbags have been discovered. There is an increase in Louis Vuitton handbags because of a change in:

• Price of a complement

• Price of a substitute

• Tastes and preferences

• Income

What factor could have caused the demand to decrease as shown above?

• Incomes increased

• Expectation that prices will increase

• A decrease in the price of a substitute

• Increase in market share

The downward slope of a demand curve

• Represents the law of demand

• Shows that as the price of a good rises, consumers increase the quantity they demand

• Indicates how the quantity demanded changes when incomes rise and the good is a normal good

• Indicates how demand changes when incomes rise and the good is a normal good

The phrase "a change in demand" most directly implies a

• Movement along the curve

• Movement along the price curve

• Change in quantity demanded of a good

• Shift in the demand curve

A change in the demand for apples could result from any of the following except

• A change in the number of buyers

• Increased preferences for fresh fruit consumption for health reasons

• A change in the price of an apple

• A change in the price of banana

Consider the market for mobile phones. Which of the following shifts the demand curve leftward?

• Studies showing using mobile phones can cause brain cancer

• A decrease in the price of mobile phones

• A decrease in the quantity demanded of mobile phones

• An increase in the services provided by mobile phones, such as text messaging