Unit 10 Economics for business LO1

A ______ is a place where buyers and sellers meet to exchange goods and services for money.

______ is the amount consumers are willing and apply to buy at different prices.

______ is the amount businesses are willing and able to sell at different prices.

Ceteris paribus means all things being _____.

Which of the following is NOT a determinant of demand?

• Complements and substitutes

• Costs of production

• Consumer income

• Interest rates

Which of the following is NOT a determinant of supply?

• Weather/climate

• Improvements in productivity

• Tastes and fashions

• Government policy

PED is the responsiveness of demand to a change in _____.

Which of the following shows a PED that is price inelastic?

• (-)3.4

• (-)2.5

• (-)1.7

• (-)0.9

Which of the following is a factor that would indicate ELASTIC demand in relation to price?

• Luxury product

• Necessity product

• A product with a very low price in comparison to income

• A habit-forming product

The point where demand and supply meet on a market diagram is known as ___________.