Quiz - Supply

The promise of increased revenues when prices are high encourages firms to produce ______.

• Less
• More
• New goods

A _______________ is a chart that lists how much of a good all suppliers will offer at different prices.

• bar graph
• inventory list
• market supply schedule

A supply curve always rises ______ to _______.

• left; right
• right; left

If supply is not very responsive to changes in price, it is considered _______.

• elastic
• inelastic
• a loss

An ________ supply is very sensitive to changes in price

• elastic
• inelastic
• overabundance of

A ________ is a government payment that supports a business or market

• loan
• gift
• subsidy

A ______ cost is a cost that does not change, regardless of how much of a good is produced

• variable
• fixed

_________ costs are costs that rise or fall depending on how much is produced

• variable
• fixed

The promise of increased revenues when prices are high encourages firms to produce _______.

• less
• more
• new products

According to the Law of Supply, the quantity of goods supplied will be greater at a ________ price than it will be at a _______ price.

• Higher; Lower
• Lower; Higher
• Sale; Lower
• Higher; Sale