Economics Quiz

The desire or willingness a consumer has to purchase a good or a service is called?

• shortage
• supply
• price
• demand

What is a shift in the demand curve primarily caused by?

• Changes in the price of the good.

• Changes in the quantity supplied.

• Changes in consumer preferences.

• Changes in production costs

If consumers expect future prices to increase, what is likely to happen to the current demand?

• It will decrease.

• It will increase.

• It will remain the same.

• It will become perfectly inelastic

Which of the following factors would cause a leftward shift in the demand curve?

• An increase in consumer income.

• A decrease in the price of substitutes.

• A decrease in consumer preferences for the good.

• An increase in the number of consumers

How would a rise in consumer incomes affect the demand for normal goods?

• Demand would decrease.

• Demand would increase.

• Demand would remain unchanged.

• Demand would become perfectly elastic

Which of the following is an example of a complementary good?

• Coffee and tea.

• Cars and gasoline.

• Bread and butter.

• Shoes and socks

What happens to the demand curve for a product when consumer tastes shift in favor of that product?

• The demand curve shifts to the left.

• The demand curve shifts to the right.

• The demand curve becomes vertical.

• The demand curve becomes horizontal

If the price of a substitute good decreases, what happens to the demand for the original good?

• Demand increases.

• Demand decreases.

• Demand remains unchanged.

• Demand becomes perfectly inelastic

Which of the following would likely NOT cause a shift in the demand curve?

• A change in consumer income.

• A change in the price of the good.

• A change in consumer expectations.

• A change in consumer demographics

If a product is considered a luxury good, how would an increase in income affect its demand?

• Demand would decrease.

• Demand would increase.

• Demand would remain unchanged.

• Demand would become elastic