Demand Quiz

Evelyn, Ava, and Abigail are at a candy store. They all want to buy their favorite candy. When we say that they have a 'demand' for the candy, it means that they not only desire the candy, but also ___

• have the ability to pay for it.

• it is a need, not just a want.

• there is enough supply of the candy for them to demand.

• there is no substitute available for the candy.

Aiden, Anika, and Hannah are having a debate. They are trying to figure out which of the following would classify as substitutes. Can you help them out?

• A pet and vet bills

• Bread and butter

• Eye glasses and contacts

• A phone and a charger

Aria, Isla, and Sophia are playing a game of 'Identify the Complements'. Can you help them out? Which of the following would classify as complements?

• A hamburger and a hot dog

• A tennis racket and tennis balls

• A cup of coffee and a cup of tea

• A smart phone and a flip phone

Anika, Priya, and Liam are playing a game of 'Market Masters'. In this game, to make a profit, they will want to offer goods and services at the ____ price possible.

• highest

• lowest

• fairest

• cheapest

Imagine Jackson, Benjamin, and David are on a shopping spree. They want to serve their own self-interest by purchasing the best products. What kind of prices should they aim for?

• The highest prices

• The lowest prices

• The fairest prices

Evelyn, Oliver, and Benjamin are running a lemonade stand. They noticed that when they increase the price of their lemonade, something happens to the demand. According to the law of demand, what happens to the demand as price increases?

• It increases

• It decreases

• It remains unchanged

Imagine Harper, Arjun, and Kai are running a lemonade stand. They notice that when they increase the price of their lemonade, fewer people buy it. What kind of relationship is this between price and quantity demanded?

• inverse

• direct

• unrelated

Imagine Olivia, Harper, and David are running a lemonade stand. They graph their results. They notice that even when they change the price of their lemonade, the demand curve doesn't shift. Why is that?

• Because a price change does not change the quantity of lemonade demanded by their customers

• Because the demand curve for their lemonade stand demonstrates a change in quantity demanded and price

• Because the demand for their lemonade does not change when they change the price

• Because natural forces explain the relationship between quantity of lemonade demanded and its price, therefore demand does not need to shift.

Zoe, Noah, and Benjamin are having a debate. Zoe argues that demand curves slope downward due to the law of diminishing marginal utility. Noah thinks it's because of the direct relationship between price and quantity demanded. Benjamin believes it's because price is always on the horizontal axis of a demand graph. Who is correct?

• Zoe

• Noah

• Benjamin

Avery, Noah, and Priya are at an ice cream shop. Avery notices that each time they have another scoop of ice cream, they enjoy it a little less than the previous one. Which economic principle is Avery experiencing?

• the law of diminishing marginal utility

• marginal cost/marginal benefit

• ice cream is an inferior good