Concepts of Economics

What happens to the equilibrium price when the demand for a product increases while the supply remains the same?

• It decreases

• It remains unchanged

• It increases

• It becomes uncertain

If a government sets a price ceiling below the equilibrium price, what is likely to occur?

• Surplus of goods

• Shortage of goods

• No change in quantity

• Increased supply

A decrease in the price of a substitute good will likely lead to:

• An increase in the demand for the original good

• A decrease in the supply of the original good

• A decrease in the demand for the original good

• An increase in the price of the original good

In a cost benefit analysis, which of the following represents a benefit?

• Increased production costs

• Reduced quality of the product

• Higher revenue from increased sales

• Increased regulatory compliance costs

Tags

NGSS.HS-ESS3-2

NGSS.HS-ETS1-3

The total cost of a project is $50,000 and the total benefits are $60,000. What is the net benefit?

• $10,000

• $50,000

• $60,000

• -$10,000

Tags

NGSS.HS-ESS3-2

NGSS.HS-ETS1-3

When performing a cost benefit analysis, which of the following should be considered as a cost?

• Increased customer satisfaction

• Higher product quality

• Opportunity costs of alternative investments

• Enhanced brand reputation

Tags

NGSS.HS-ESS3-2

NGSS.HS-ETS1-3