Market Concepts Quiz

What is individual demand?

• The total demand of all people

• The demand for luxury goods

• How many goods a single person is willing to buy

• The demand for imported goods

Which of the following is NOT a component of demand?

• Desire

• Willingness

• Ability

• Production

What is the relationship between price and quantity demanded in a demand schedule?

• Direct relationship

• Inverse relationship

• No relationship

• Random relationship

At a price of $1.00, how many Frosties are demanded per day?

• 4

• 8

• 13

• 19

What does the term 'marginal utility' refer to?

• The total utility of all units consumed.

• The utility of the first unit consumed.

• The utility of each additional unit consumed.

• The utility of the last unit consumed.

What does the demand curve D1 indicate when DVDs cost $30 each?

• Q3 units will be demanded.

• Q1 units will be demanded.

• Q2 units will be demanded.

• No units will be demanded.

What happens to demand when the price of an item has a very big effect on the quantity demanded?

• The demand is elastic.

• The demand is inelastic.

• The demand is constant.

• The demand is unpredictable.

Which of the following is an example of a demand inelastic good?

• Salt

• Candy bars

• Cars

• Goods with substitutes

Goods that are bought and used together are 

• complementary goods
• substitute goods
• income goods
• unrelated goods

A surplus happens when

• prices are too low relative to consumer demand.
• prices are too high relative to consumer demand.
• prices are too low relative to producer demand
• prices are too high relative to producer demand.