economics

Which of the following best describes demand in economic terms?

• The number of goods available in a market at a given time.
• The total amount of money consumers are willing to spend on goods.
• The quantity of a good or service that consumers are willing and able to purchase at various price levels.
• The quantity of a good that producers are willing to sell at various prices.

What does the demand curve typically represent?

• An upward slope indicating a direct relationship between price and quantity demanded.
• A downward slope indicating an inverse relationship between price and quantity demanded.
• A horizontal line indicating that demand is constant regardless of price.
• A vertical line indicating that demand is completely inelastic.

Which of the following best describes the relationship between price and quantity demanded?

• Price has no effect on quantity demanded.
• As price increases, quantity demanded decreases.
• As price decreases, quantity demanded decreases.
• As price increases, quantity demanded increases.

How does an increase in consumer income typically affect demand for normal goods?

• It decreases demand for inferior goods only.
• It increases demand for normal goods.
• It has no effect on demand.
• It decreases demand for normal goods.

What does supply refer to in economic terms?

• The amount of goods available for sale at a fixed price.
• The quantity of a good or service that consumers are willing to purchase.
• The quantity of a good or service that producers are willing and able to sell at various price levels.
• The total demand for a good in the market.

Which of the following is a key factor that influences supply?

• Consumer preferences
• Income of consumers
• Price of substitutes
• Government policies

Which of the following factors would likely lead to an increase in supply?

• A decrease in the number of suppliers.
• A rise in consumer demand.
• An increase in production costs.
• Advancements in technology that lower production costs.

What typically happens when the price of a good increases, according to the law of supply?

• The quantity supplied increases.
• The quantity supplied remains unchanged.
• The demand for the good decreases.
• The quantity supplied decreases.

How can advancements in technology affect supply?

• They can only affect demand, not supply.
• They can increase supply by reducing production costs.
• They can have no impact on supply.
• They can decrease the supply by increasing production costs.

Which of the following factors can decrease the supply of crops?

• Advancements in technology that reduce production costs.
• A decrease in production costs for agricultural inputs.
• An increase in the number of suppliers in the market.
• A drought that increases the cost of water.