WorksheetsAGR403 - DEMAND
Total questions: 20
Worksheet time: 16mins
Demand for a good that has multiple uses is called?
joint demand
competitive demand
derived demand
composite demand
When classifying a good or service as having demand, that means that consumers have both the desire for the good or service and ____________.
the ability to pay for it.
the ability to borrow it.
deserve to receive it.
wants it.
Which of the following would classify as substitutes?
tyre, car
bread, butter
coffee, tea
phone, charger
When you need two goods because they work together to provide a benefit for the consumer. For example demand for cars would likely increase demand for petrol. This interrelated demand is called
cross demand
joint demand
derived demand
competitive demand
The natural forces of supply and demand will establish ___.
a price that serves the self interest of both consumers and producers.
a higher price for all goods and services because of rising labor costs
a lower price for all goods and services because of consumer self interest
a price which satisfy the supplier and their ability to supply it
Law of demand states that (a)
The relationship between price and quantity demanded is ___.
inverse
direct
unrelated
proportionate
When price changes, why does the demand curve DID NOT shift?
a price change does not change quantity demanded
the demand curve demonstrates a change in demand
the demand for goods and services does change when price changes
natural forces explain the relationship between quantity demanded and price therefore demand does not need to shift.
What is a normal good or service?
as income increases consumers will demand more normal goods and services
as income decreases, consumers will demand more normal goods and services
when the price of the complement good or service changes, there is no impact to the demand of a normal good.
What is an inferior good?
A good that when income increases we demand less of the good.
A good that when income decreases we demand more of the good.
A good that does not change when demand increases or decreases.
When an increase in demand occurs, which direction will a demand curve shift?
up
down
left
right
When a decrease in quantity demanded occurs, which way will a demand curve shift?
up
down
left
right
Describe your demand for a product if you buy the same amount of it or just a small amount less after a large price increase.
elastic
unitary elastic
inelastic
hyperelastic
Which of the following is an example of inelastic demand?
Jason wants the most expensive cellphone. He decides to get a cheaper model.
Priya wants to go to the season-opening game. Tickets to another game cost less, but she still buys tickets for the opener.
Tianna wants to try out a new, expensive restaurant. She goes to another restaurant whose food is excellent and costs less.
Shawn wants to buy a house in one neighborhood. But after searching, he decides to buy a house elsewhere instead.
How does elasticity affect potential revenue for a firm?
If demand for a good is inelastic, lowering the price could raise revenue.
If demand for a good is inelastic, raising the price could reduce revenue.
If demand for a good is elastic, raising the price must increase revenue.
If demand for a good is elastic, raising the price could reduce revenue.
During the COVID 19 Pandemic we are all experiencing now, and the information campaign from the Center for Disease Control highlighting that bacteria and other organisms cause and spread disease, how is the demand curve for soap ?
Elastic
Inelastic
Unitary elastic
Perfectly elastic
What does it mean?
Ed = 0
Perfectly inelastic demand
Inelastic demand
Unitarily elastic demand
Elastic demand
Perfectly elastic demand
1,700 frozen beef were sold in 2016 at an average price of RM17. In 2017, 1,500 frozen beef were sold at an average price of RM27. Calculate the price elasticity of beef.
4.98 inelastic
4.98 elastic
0.2 inelastic
0.2 elastic
164,000 New York Giants Jerseys were sold in 2006 at a price of RM65. 100,000 New York Giants Jerseys were sold in 2018 at a price of RM80.
1.69 inelastic
2.77 elastic
2.77 inelastic
1.69 elastic
Proton has seen an increase in demand of 70%, while the price has decreased 35%
0.5 inelastic
0.5 elastic
2 inelastic
2 elastic
