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demand

Total questions: 10

Worksheet time: 3mins

Name
Class
Date
1.

____________goods have positive income effect.

a)

Normal

b)

Complementary

c)

Inferior

2.

Demand for which of the following goods does not change with change in Income of the consumer?

a)

Normal Goods

b)

Necessity goods

c)

Inferior Goods

3.

If with the rise in the price of good Y, the demand for good X rises, the two goods are:

a)

Substitutes

b)

Compliments

c)

Not related

d)

Jointly demanded

4.

A rise in the price of petrol will ____ the demand for cars

a)

Decrease

b)

Increase

c)

Not affect

5.

Which of the following is not a determinant of a consumer's demand for a commodity?

a)

income

b)

population

c)

price of related goods

d)

taste

6.

The law of demand refers to the

a)

inverse relationship between the price of the commodity and the quantity demanded of the commodity per time period.

b)

direct relationship between the desire of a consumer has for a commodity and the amount of the commodity that the consumer demands.

c)

inverse relationship between consumer's income and the amount of the commodity that the consumer demands.

7.

If the price of a good increases, then

a)

the demand for complementary good will increase

b)

the demand for the good will increase.

c)

the demand for substitute good will increase.

d)

the demand for the good will decrease.

8.

which of the following is an example of substitute good?

a)

tea and coffee

b)

bread and butter

c)

car and petrol

d)

tea and sugar

9.

the demand for the normal goods _____________ with an increase in income of the consumer.

a)

increase

b)

decrease

c)

remains same

d)

either increases or decreases.

10.

________ is the quantity of a commodity that a consumer is willing and able to buy at each possible price during a given time period.

a)

want

b)

desire

c)

need

d)

demand