Supply and Demand

In general, if the price of a good or service goes down, what happens to the demand for that good or service?

• demand goes up
• demand stays the same
• demand goes down
• none of the above

Amazon Prime is selling Smencils.  There are only a few packs left and they are very popular.  What will happen to the price?

• The price will go up.
• The price will go down.

In general, if the price of a good or service goes up, what happens to the demand for that good or service?

• demand goes up
• demand stays the same
• demand goes down
• none of the above

The week before Halloween, pumpkin patches all around the country sell lots of pumpkins. What will happen to the price of pumpkins on the day after Halloween?

• The price will go up.
• The price will go down.

Millions of people see a famous sports star drinking apple juice on television. The fans think apple juice helps make the athlete strong. What will happen to the price of apple juice?

• The price will go up.
• The price will go down.

The amount of goods or services available is called?

• supply
• demand
• producer
• consumer

What might happen if the demand for a new type of XBOX began rising quickly?

• The manufacturer would begin making fewer new XBOXs

• Microsoft would raise the price of the new XBOXs

• Microsoft would stop selling the new XBOX

• Microsoft would lower the price of the new XBOX

Which condition would lead to the highest prices?

• Low supply, high demand

• High supply, high demand

• High supply, low demand

• Low supply, low demand

Which of the following could cause the demand for airline travel to decrease? 

• The price for traveling by airplane decreases
• The price of traveling by airplane remains the same
• The price for traveling by airplane increases
• None of the choices

If the cost of computers falls, then…

• the demand for computers goes up.
• the supply of computers goes up.
• none of the choices
• the demand for computers goes down.