Econ- 9 Week Exam Review

What could cause the shift from D1 to D2?

• A change in preferences

• A change in price

• A change in quantity demanded

• A change in quantity supplied

What does this curve represent?

• supply
• equilibrium
• demand
• surplus

What does this curve represent?

• demand
• supply
• equilibrium
• shortage

If the supply curve on this graph represents iPhones, what would cause the change from S to S1 (red to purple line)?

• An increase in computer chips

• An increase in the cost of producing an iPhone

• Employees figure out a way to work more efficiently

• The price of iPhones increases

The point in the middle of the two curves represents or shows....?

• Market Equilibrium

• An increase in supply

• A shortage

• A surplus

New technology advances the rate at which furniture can be assembled. Why does this change the supply?

• There is a change in cost of production.

• The number of producers changes.

• The expectations of consumers changes.

• The output rate declines.

Which statement expresses a central idea of how the laws of supply and demand work?

• The government sets the prices for goods and services.

• Prices are determined by the interaction of producers and consumers.

• Consumers alone determine the prices for goods and services.

• Technology dictates the prices charged for goods and services.

If the price of an item drops, how would we show the change to the quantity demanded?

• We should shift the supply graph downward and left

• We should shift the demand graph upward and right

• We should shift the demand graph downward and left

• We should move to a new point on the graph.

Sugar and honey are viewed as subsitutes for each other for many recipes. If the prices of sugar rises, what can be expected the

• demand for honey to increase

• demand for honey to decrease

• quanitity demanded for honey to increase

• quantity demanded for honey to decrease

This market structure is characterized by the lowest level of competition among producers.

• monopolistic competition

• monopoly

• oligopoly

• perfect competition