Equilibrium & Disequilibrium

Which of the following explains why $7 is not an equilibrium price in the market for blankets?

• The Qs is greater than the Qd

• The demand is greater than the supply

• The supply is greater than the demand

• The Qd and Qs are equal

• The Qd is greater than the Qs

Which of the following would cause a surplus in this market?

• Any price below $12

• A price of $12

• Any price above $12

• Any price below $20

• If the good was free

Which of the following best describes a market in equilibrium?

• At the current quantity, the price sellers charge is more than what buyers are willing to pay.

• At the current quantity, buyers are willing to pay more than sellers receive.

• At the current price, Qs is less than Qd.

• At the current price, Qs equals Qd.

• At the current price, Qs is greater than Qd.

Which of the following terms describes a situation in which there is an excess quantity supplied in a market?

• Surplus

• Equilibrium

• Efficiency

• Shortage

• Excess demand

What is the equilibrium price and quantity in this market?

• P=$9

  Q=3

• P=$11

  Q=2

• P=$3

  Q=6

• P=$3

  Q=9

• P=$9

  Q=7

What is the equilibrium price and quantity in this market?

A local grocery store orders 200 cases of Pepsi each week and sells them at a price of $6.00 per case. At the end of the first week, they have only sold 160 cases. What economic situation is the grocery store facing and what will have to happen to price in order for equilibrium to be attained?

• surplus; price will rise.

• surplus; price will fall

• shortage; price will rise.

• shortage; price will fall.

An increase in the price of electricity will:

• increase the demand for light bulbs.

• increase the demand for stereos.

• increase the demand for kerosene heaters

• increase the demand for TVs.