Demand and Supply

The willingness and ability to purchase goods and services is called as ....

• demand

• supply

• sales

• revenue

The willingness and ability to sell the products is ....

• demand

• supply

• sales

• income

What is measured on the vertical axis of a demand diagram?

• cost

• wants

• needs

• price

If price of cars increase, demand of gasoline will ....

• increase

• same

• decrease

• neutral

During the rainy season, demand of ... will increase.

• ice cream

• holiday

• food

• umbrella

Training of workers increase the quality of production which cause a ... cost of productions and a ... of supply.

• rise, rise

• rise, decrease

• lower, decrease

• lower, rise

Gold mining without any discoveries of new source for gold will make a ... of ....

• rise, demand

• decrease, supply

• rise, supply

• decrease, demand

For inferior goods, the demand will ... due a rise of income.

• stable

• increase

• decrease

• rise

Which of the following statements is correct?

• buyers and sellers determine supply

• buyers and sellers determine demand

• buyers determine demand and sellers determine supply

• buyers determine supply and sellers determine demand

A downward-sloping demand curve illustrates ....

• a decrease in price

• demand decreases over time

• relationship between demand and income

• the law of demand