Supply and Demand - Curves and Graphs

The diagram represents a(n)

• increase in supply

• decrease in supply

• change in quantity supplied

• none of the above

The diagram represents a

• increase in demand

• decrease in demand

• change in quantity demand

• none of the above

What is the Equilibrium Price?

• 1

• 2

• 3

• 4

What does this curve represent?

• demand
• supply
• equilibrium
• shortage

What does this curve represent?

• supply
• equilibrium
• demand
• surplus

If the government set the price at $3 what would it be?

• a price floor

• a price ceiling

• a surplus

• equilibrium

If the government set the price at $8 what would it be?

• a price floor
• a price ceiling
• a shortage
• equilibrium

If the price is set at $5 what would it be?

• a price floor
• a price ceiling
• a shortage
• equilibrium

Which area indicates a shortage?

• A

• B

• C

• D

Which area indicates a surplus?

• A

• B

• C

• D