Supply and Demand Practice

Jacob Clifford provides a fast-paced review of supply and demand concepts, focusing on practice rather than teaching. He explains the basics of demand and supply curves, equilibrium, and disequilibrium, emphasizing that price changes do not shift the curves. The video includes practice scenarios to apply these concepts, highlighting the importance of understanding curve shifts and their effects on price and quantity. Clifford encourages viewers to revisit detailed videos if needed and concludes with a real-life example of fidget spinners to illustrate the concepts.

What is the main focus of this video tutorial?

• Discussing the history of economics

• Teaching new concepts of supply and demand

• Providing a detailed analysis of economic theories

• Practicing the application of supply and demand

What happens to the quantity demanded when the price of a product falls?

• It increases

• It remains the same

• It becomes zero

• It decreases

What is the relationship between price and quantity supplied according to the law of supply?

• No relationship

• Random relationship

• Direct relationship

• Inverse relationship

When does a demand curve shift to the right?

• When demand decreases

• When demand increases

• When supply increases

• When supply decreases

What is the effect of a price change on the demand and supply curves?

• It shifts only the demand curve

• It shifts both curves

• It does not shift either curve

• It shifts only the supply curve

In the practice scenario, what happens if fidget spinners are believed to improve learning?

• Demand decreases

• Demand increases

• Supply decreases

• Supply increases

What is the impact on supply when the cost of bearings for fidget spinners increases?

• Demand decreases

• Demand increases

• Supply decreases

• Supply increases

How does a subsidy from the government affect the supply of fidget spinners?

• It increases supply

• It decreases supply

• It increases demand

• It decreases demand

What happens to the demand for fidget spinners if the price of a complementary product decreases?

• Supply decreases

• Demand increases

• Demand decreases

• Supply increases

In a double shift scenario, what is indeterminate?

• Neither price nor quantity

• Both price and quantity

• Quantity

• Price