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OCR GCSE Economics - 2.2 - Demand

Total questions: 10

Worksheet time: 5mins

Name
Class
Date
1.

Which of these best describes the law of demand?

a)

If prices go up, quantity demanded fall and if prices go down, quantity demanded will go up

b)

If prices go up, quantity demanded will also go up and if prices go down, quantity demanded will also go down

c)

There is no law of demand, each situation is unique and demand and prices cannot be predicted

d)

Prices will go up for certain goods when quantity demanded goes up and vice versa

2.

The quantity demanded of a good or service changes at all price levels best describes the concept of

a)

Change in quantity demanded

b)

Elasticity

c)

Change in demand

d)

Demand curve

3.

Which of the following will cause an increase in demand for snowboards?

a)

More costly production methods

b)

A decrease in the price of lift tickets at resorts in Colorado

c)

A decrease in consumer income

d)

A decrease in the population

4.

A new study has shown that avocados are extremely healthy. The demand for avocados has increased due to a change in

a)

Market size

b)

Price of a substitute good

c)

Price of a complementary good

d)

Tastes and preferences

5.

A recent scandal in which 1 million fake Chanel handbags have been discovered. There is an increase in Louis Vuitton handbags because of a change in:

a)

Price of a complement

b)

Price of a substitute

c)

Tastes and preferences

d)

Income

6.

What factor could have caused the demand to decrease as shown above?

a)

Incomes increased

b)

Expectation that prices will increase

c)

A decrease in the price of a substitute

d)

Increase in market share

7.

The downward slope of a demand curve

a)

Represents the law of demand

b)

Shows that as the price of a good rises, consumers increase the quantity they demand

c)

Indicates how the quantity demanded changes when incomes rise and the good is a normal good

d)

Indicates how demand changes when incomes rise and the good is a normal good

8.

The phrase "a change in demand" most directly implies a

a)

Movement along the curve

b)

Movement along the price curve

c)

Change in quantity demanded of a good

d)

Shift in the demand curve

9.

A change in the demand for apples could result from any of the following except

a)

A change in the number of buyers

b)

Increased preferences for fresh fruit consumption for health reasons

c)

A change in the price of an apple

d)

A change in the price of banana

10.

Consider the market for mobile phones. Which of the following shifts the demand curve leftward?

a)

Studies showing using mobile phones can cause brain cancer

b)

A decrease in the price of mobile phones

c)

A decrease in the quantity demanded of mobile phones

d)

An increase in the services provided by mobile phones, such as text messaging