Supply and Demand Checkpoint Quiz

What happens to the price of a toy when more people want to buy it than there are toys available?

• The price goes down

• The price stays the same

• The price goes up

• The price changes daily

If a farmer grows too many apples and can't sell them all, what is likely to happen to the price of apples?

• The price will increase

• The price will decrease

• The price will stay the same

• The price will double

What does the term "demand" refer to in the context of supply and demand?

• How much of a product is made

• How much of a product is destroyed

• How much of a product people are willing to buy

• How much of a product is lost

What does "supply" mean in economic terms?

• The amount of money in the market

• The amount of a product available for sale

• The desire to buy products

• The number of stores selling a product

If the price of video games goes down, what is likely to happen to the demand for video games?

• It will decrease

• It will stay the same

• It will increase

• It will first decrease, then increase

Why might a company decide to lower the price of their product?

• To increase the supply of the product

• To decrease the demand for the product

• To increase the demand for the product

• To decrease the supply of the product

What is an example of a factor that can cause the demand for a product to change?

• A change in the weather

• The number of employees in a factory

• The price of raw materials

• The size of the product

If a new technology makes it cheaper to produce cars, what is likely to happen to the supply of cars?

• It will decrease

• It will stay the same

• It will increase

• It will first increase, then decrease

What effect does a high supply and low demand for a product usually have on its price?

• The price increases

• The price decreases

• The price stays the same

• The price fluctuates rapidly

If consumers start preferring electric cars over gasoline cars, what will likely happen to the demand and price of gasoline cars?

• Demand and price will increase

• Demand will decrease, but the price will increase

• Demand and price will decrease

• Demand will increase, but the price will decrease