Supply and Demand Test Review (ECON)

An increase in the price of something cause the demand curve to...

• Shift to the left

• Shift to the right

• Shift upward

• Shift downward

• Do Nothing

A change in price causes the demand curve to shift

• True

• False

if a small price increase for a good has little to no effect on demand, the demand for that good tends to be...

• complementary

• inelastic

• elastic

• marginalized

If suppliers expected lower prices in the near future, they might withhold some of their supply now

• True

• False

When a consumer's need for a product is not urgent, the demand for it tends to be...

• Complementary

• Inelastic

• Elastic

• Marginalized

A change in price causes the supply curve to shift

• True

• False

When a consumer's need for a product is needed for survival, the demand for it tends to be more

• Complementary

• Inelastic

• Elastic

• Marginalized

The supply for a product typically decreases if...

• input cost decrease

• input cost increase

• more suppliers enter the market

• taxes on a product decrease

an increase in the cost of raw materials (input cost) can cause the supply curve to shift to the left

• True

• False

The introduction of new technology has no effect on the supply curve

• True

• False