Basics of Supply Pre-test

The relationship between price and quantity supplied over a given time is called _____.

• Supply

• Quantity supplied

• Demand

• Quantity demanded

The amount of a product that a firm is willing and able to offer for sale at a particular price during a given period of time is called _____.

• Supply

• Demand

• Quantity supplied

• Quantity demanded

The Philippines is a major exporter of bananas, and a series of typhoons severely damaged banana plantations across several regions of the country. Simultaneously, global demand for Philippine bananas remains strong. What is the most likely overall effect on the supply of Philippine bananas for export?

• 
  A significant increase in supply

• A slight decrease in supply

• 
  A slight increase in supply

• A significant decrease in supply

A shift of the supply curve to the right indicates:

• A decrease in supply

• No change in supply

• An increase in supply

• A decrease in quantity supplied

The increase in the price of Graham Crackers in Puregold and Waltermart supermarkets was evident during Christmas. What will happen to its quantity supplied?

• Double

• Decrease

• Increase

• Stay the same

What happens to the workforce of most establishments, such as restaurants, malls, and resorts, during peak seasons?

• Double

• Decrease

• Increase

• Stay the same

Which of the following best describes the Law of Supply?

• As the price of a good increases, the quantity demanded increases; and as the price of a good decreases, the quantity demanded decreases, all other things being the same.

• As the price of a good increases, the quantity supplied increases; and as the price of a good decreases, the quantity supplied decreases, all other things being the same.

• As the price of a good decreases, the quantity supplied increases; and as the price of a good increases, the quantity supplied decreases, all other things being the same.

• As the price of a good decreases, the quantity, the quantity demanded increases; and as the price of a good increases, the quantity demanded decreases, all other things being the same.

Which of the following is not a determinant of supply?

• The price of inputs

• 
  Technology used in production

• Government regulations

• 
  Consumer preferences

A movement along the supply curve is caused by a change in:

• the price of the good

• 
  input prices

• technology

• government regulations

Which of the following would cause a shift to the left of the supply curve for a particular good?

• An improvement in technology used to produce the good

• A decrease in the price of inputs used to produce the good

• A significant increase in the price of a key input used to produce the good

• A government subsidy provided to the producers of the good