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Basic Microeconomics

Total questions: 33

Worksheet time: 23mins

Name
Class
Date
1.

It is an economics concept that measures the responsiveness of one variable to changes in another variable.

a)

Elastic

b)

Inelastic

c)

Elasticity

d)

Inelasticity

2.

A place or situation wherein it brings together buyers and sellers of goods or services.

a)

Market

b)

Economy

c)

Marketplace

d)

Economics

3.

Decisions about what products are available and at what prices are determined through the interaction of supply and demand is made.

a)

Market place

b)

Market demand

c)

Market supply

d)

Market Economy

4.

The law of demand that a rise in price will lead to a decrease in the quantity demanded.

a)

True

b)

False

5.

If a small change in price creates a large change in demand, elasticity of demand is?

a)

Elastic

b)

Inelastic

c)

Unitary

d)

Unit elastic

6.

In this kind of economy, economic effort is devoted to goals passed down from a ruler or ruling class.

a)

Mixed economy

b)

Planned economy

c)

Free market economy

d)

Socialist economy

7.

It refers to the amount of some good or service consumers are willing and able to purchase at each price.

a)

Supply

b)

Consumer

c)

Producer

d)

Demand

8.

Elasticity of demand wherein a large change in price results in a very small change in demand.

a)

Elastic

b)

Inelastic

c)

Unitary

d)

Unit Elastic

9.

What a buyer pays for a unit of the specific good or service is called?

a)

Sale

b)

Price

c)

Amount

d)

Sell

10.

To calculate elasticity, we will use the average percentage change in both quantity and price. This method is called?

a)

Middle point method

b)

Medpoint method

c)

Midpoint method

d)

Mindpoint method

11.

The total number of units purchased at that price is called ?

a)

Quantity supplied

b)

Quantity demanded

c)

Quantity purchased

d)

Quantity sale

12.

It is typically applied when we look at how changes in price affect demand or supply.

a)

Citires Paribus

b)

Citeris Paribos

c)

Ceteris Parebus

d)

Ceteris Paribus

13.

Elasticity of demand or supply is consider elastic if the answer is?

a)

=1

b)

=0

c)

<1

d)

>1

14.

A product whose demand rises when income rises, and vice versa, is called?

a)

Normal goods

b)

Inferior goods

15.

Elasticity is consider as inelastic if the answer is?

a)

=1

b)

=0

c)

<1

d)

>1

16.

A product whose demand falls when income rises, and vice versa, is called ?

a)

Normal goods

b)

Inferior goods

17.

Elasticity is considered to be unitary if the answer is?

a)

=1

b)

=0

c)

>1

d)

<1

18.

The law of supply states that more of a good will be provided the higher its price; less will be provided the lower its price.

a)

True

b)

False

19.

A table or data that shows the quantity supplied at a range of different prices.

a)

Supply curve

b)

Supply table

c)

Quantity supplied

d)

Supply schedule

20.

It is a graphic illustration of the relationship between price, shown on the vertical axis, and quantity, shown on the horizontal axis.

a)

Supply curve

b)

Supply schedule

c)

Quantity supplied

d)

Supply equation

21.

A situation wherein the amount that producers want to sell is less than the amount that consumers want to buy

a)

Surplus

b)

Shortage

22.

Situation wherein the amount that producers want to sell is greater than the amount that consumers want to buy.

a)

Shortage

b)

Surplus

23.

FINDING EQUILIBRIUM WITH ALGEBRA

Solve for the Price of Candy using the given equation:

Qd= 20+5P and Qs=10+10P

a)

P=6

b)

P=4

c)

P=3

d)

P=2

24.

FINDING EQUILIBRIUM WITH ALGEBRA

Solve for Qs if P=40 and Qd=150-P

a)

Qs=40

b)

Qs=30

c)

Qs=20

d)

Qs=10

25.

FINDING EQUILIBRIUM WITH ALGEBRA

Solve for P if

Qd=150-P and Qs=-60+P

a)

P=100

b)

P=85

c)

P=70

d)

P=50

26.

Solve for the Elasticity of Demand if:

Q1=510 P1=58

Q2=600 P2=40

a)

Ed=-0.54

b)

Ed=-0.44

c)

Ed=-0.34

d)

Ed=-0.24

27.

Solve the Elasticity of demand:

Q1= 200 P1=10

Q2=220 P2=15

a)

Ed=0.54

b)

Ed=0.44

c)

Ed=0.34

d)

Ed=24

28.

Solve for the Elasticity of Supply:

Q1=150 P1=30

Q2=300 P2=45

a)

Es=3.67

b)

Es=2.67

c)

Es=1.67

d)

Es=0.67

29.

Solve for the Elasticity of Supply:

Q1=135 P1=55

Q2=120 P2=50

a)

Es=1.88

b)

Es=1.87

c)

Es=1.86

d)

Es=1.85

30.

Solve for the Price using the supply function:

Qs=-100+20 if Qs=100

a)

P=15

b)

P=10

c)

P=5

d)

P=3

31.

Solve for Qs using he supply function:

Qs=-100+20 if P=15

a)

Qs=600

b)

Qs=500

c)

Qs=400

d)

Qs=300

32.

Solve for Price using the demand function:

Qd=400-10P if Qd=100

a)

P=55

b)

P=50

c)

P=40

d)

P=30

33.

Solve for Qd using the demand function:

Qd=400-10P if P=30

a)

Qd=200

b)

Qd=150

c)

Qd=100

d)

Qd=50