Supply and Demand Practice Assessment

If the supply of smartphones increases while demand stays the same, what typically happens to the price?

• The price increases
• The price decreases
• The price stays exactly the same
• The price doubles

During a drought, what typically happens to the price of vegetables?

• Prices decrease because fewer people want vegetables
• Prices increase because supply is limited
• Prices stay the same regardless of the drought
• Prices are regulated by the government

What would likely happen to movie ticket prices if a new superhero film becomes extremely popular?

• Prices would decrease to attract more customers
• Prices would stay exactly the same
• Prices would increase due to high demand
• Movie theaters would give tickets away for free

During winter, what typically happens to the price of ice cream?

• Prices increase due to higher demand
• Prices decrease due to lower demand
• Prices remain constant year-round
• Prices are determined by the temperature

If a new gaming console is released and everyone wants to buy it, what happens to its price?

• The price stays the same
• The price decreases to sell more
• The price increases due to high demand
• The price is set by the government

What happens to hotel prices during peak tourist season?

• They decrease to attract more tourists
• They increase due to higher demand
• They stay the same all year
• They are controlled by local laws

If farmers have an excellent growing season with a large crop yield, what typically happens to produce prices?

• Prices increase significantly
• Prices decrease due to increased supply
• Prices stay exactly the same
• Prices are set by grocery stores

During a gas shortage, what happens to gas prices?

• Prices increase due to limited supply
• Prices decrease to help consumers
• Prices remain unchanged
• Prices are always fixed

What typically happens to umbrella prices on a rainy day?

• They stay the same
• They decrease to encourage sales
• They increase due to sudden demand
• They are determined by the weather forecast

If many new pizza restaurants open in a small town, what typically happens to pizza prices?

• Prices increase due to competition
• Prices decrease due to competition
• Prices stay exactly the same
• All restaurants charge identical prices