Demand Elasticity

A complement example would be all except

• butter and margarine 
• peanut-butter and jelly
• flashlight and batteries 
• cameras and film 

When replacing a certain item with with a less costly item is an example of

• the substitution effect 
• the income effect 
• demand elasticity 
• complements 

Buying one ice-cream instead of two at lunch describes what concept 

• marginal utility 
• diminishing marginal utility
• demand
• consumerism 

When consumers have a need for a product that is urgent,

• the demand curve is inelastic 

• the demand curve is elastic 

• the demand curve is complementary 

• the demand curve is unit demand 

Products that can be used in a place of other products 

• substitutes 
• goods 
• substitution effect 

An increase in demand will shift the demand curve...

• Right 
• Left 
• no movement 
• no change

Describe your demand for a product if you buy the same amount of it or just a small amount less after a large price increase.

• elastic

• unitary elastic

• inelastic

• hyperelastic

Which of the following is most likely to have the highest elasticity of demand?

• electricity

• gasoline

• housing

• vacation travel

Which of these demonstrates inelastic demand?

• 
• 
• 
• 

Which of these best describes the law of demand?

• if prices go up, quantity demanded will fall and if prices go down, quantity demanded will go up

• if prices go up, quantity demanded will also go up and if prices go down, quantity demanded will also go down

• there is no law of demand, each situation is unique and demand and prices cannot be predicted

• prices will go up for certain goods when quantity demanded goes up and vice versa