Supply and Demand Tips- Macro and Micro

What happens to the quantity demanded of a product when its price increases, assuming all other factors remain constant?

• It increases.

• It decreases.

• It remains unchanged.

• It shifts the demand curve to the right.

How does an increase in the price of a good affect the quantity supplied by producers?

• The quantity supplied decreases.

• The quantity supplied increases.

• The supply curve shifts to the left.

• The supply curve shifts to the right.

What is the effect of a change in the price of a good on its demand or supply curve?

• It shifts both the demand and supply curves.

• It shifts only the demand curve.

• It shifts only the supply curve.

• It causes a movement along the existing demand or supply curve.

What occurs when the quantity demanded of a good is greater than the quantity supplied at a given price?

• A surplus.

• Market equilibrium.

• A shortage.

• A shift in the supply curve.