Pop Quiz 2

The decrease in price for certain goods or services can be shown by

• the demand curve shifts to the left.

• the demand curve shifts to the right.

• the upward movement on the demand curve itself.

• the downward movement on the demand curve itself.

Which of the following statements can cause the demand curve to shift to the left?

• The increase in the cost of production.

• The increase in the price of goods itself.

• The increase in the price of substitute goods.

• The increase in the price of complimentary goods.

Demand curve is upward sloping from left to right when

• the goods are luxury goods.

• the price of raw materials is expected to decrease.

• sales tax on the product itself has been demolished.

• the price of the product itself is expected to decrease.

Which of the following statement IS NOT the effect of the increase of the price of petrol towards its complementary goods?

• The increase in quantity demanded.

• The decrease in quantity demanded.

• The shift of the demand curve to the left.

• The shift of the demand curve to the right.

The negative relationship between the price and the quantity demanded of certain goods was caused by

• The law of life.

• The consumers behavior itself.

• The goods are in the Giffen goods category.

• The substitute effect and income effect that reacted when the price of the goods changed.

Demand for certain product DID NOT influence by

• producers’ taste.

• size of population.

• government policy.

• the price of other products.

Which of the following will cause the demand for local cars shift to the right?

• The price of imported cars increases.

• The cost of production of local cars decreases.

• The government control the price of local cars.

• The improvement of production technology of local cars.

With assumption of ceteris paribus, the increasing of chicken’s price will cause the demand curve for chicken eggs

• shift to the left.

• shift to the right.

• become more elastic.

• become more inelastic.

Which of the following statements will make the market supply curve shift to the left?

• The firms left the market.

• The improvement of technology.

• The decrease in consumers’ income.

• The decrease in consumers’ taste towards the goods.

What will happen at the new equilibrium if demand and supply curve shift to the left together at same rate?

• Equilibrium output increase and equilibrium price unchanged.

• Equilibrium price increase and equilibrium output unchanged.

• Equilibrium output decrease and equilibrium price unchanged.

• Equilibrium price decrease and equilibrium output unchanged.