Unit 4 Learning Target 2 Practice Quiz

When James, a local farmer, offers more of his organic vegetables as their price increases and less as their price falls, this defines the

• law of demand

• law of supply

• change in demand

• change in supply

Michael runs a small business selling cup holders. Assume the current price of cup holders is $5.00. If the price were to drop to $2.50, how many cup holders is Michael willing and able to supply?

• 3,000

• 4,000

• 5,000

• 7,000

Which of the following supply curves demonstrates a decrease in the quantity supplied?

• 
• 
• 
• 

A decrease in supply is demonstrated by which of the following?

• 
• 
• 
• 

A decrease in the price of apples at Luna's local market will

• increase supply.

• decrease supply.

• increase quantity supplied.

• decrease quantity supplied.

What happened to a supply curve when supply goes down?

• moves left
• moves rights
• moves up
• moves down

Samuel is studying the market for iPhones. 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

5 new gas stations open in David's neighborhood. This is an example of the supply shifter: ______ and this change would cause a shift to the _____ in the supply curve.

• Number of Consumers; right

• Government Involvement in the Production Process; left

• Number of Suppliers/Sellers; right

• Number of Suppliers/Sellers; left

What would be an example of a shift in the supply curve to the left?

• A decrease in the price of raw materials

• An increase in the number of producers

• A natural disaster that destroys part of the production capacity

• A technological advancement that makes production more efficient

Abigail runs a small bakery. Which factor would cause a shift in the supply curve for her baked goods to the left?

• An improvement in technology

• A decrease in the cost of raw materials

• An increase in taxes on the production process.

• An increase in the number of suppliers