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WorksheetsMEFA-Quiz 1.4 INTRODUCTION TO DEMAND and DEMAND ANALYSIS
Total questions: 40
Worksheet time: 20mins
1. Consumer goods are products that are purchased for personal use. Consumer goods are the goods finally used by the consumers to satisfy their wants
YES
NO
2. Demand for which of the following goods does not change with change in Income of the consumer?
Normal Goods
Necessity goods
Inferior Goods
3. If with the rise in the price of good Y, the demand for good X rises, the two goods are:
Substitutes
Compliments
Not related
Jointly demanded
4. A rise in the price of Tea will ____ the demand for Tea
Decrease
Increase
Not affect
5. Which of the following is not a determinant of a consumer's demand for a commodity?
income
population
price of related goods
taste
6. The law of demand refers to the
inverse relationship between the price of the commodity and the quantity demanded of the commodity per time period.
direct relationship between the desire of a consumer has for a commodity and the amount of the commodity that the consumer demands.
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
the demand for complementary good will increase
the demand for the good will increase.
the demand for substitute good will increase.
the demand for the good will decrease.
8. which of the following is an example of substitute good?
tea and coffee
bread and butter
car and petrol
tea and sugar
9. The demand for the normal goods _____________ with an increase in income of the consumer.
increase
decrease
remains same
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.
want
desire
need
demand
11.Individual and market demand, both follows the Law of Demand.
True
False
12.Law of Demand shows the direct relationship between the price and quantity demanded.
Defend
Refute
13.Find the missing value.
12
15
14
05
14."People Buy more Ice-creams during summer than winter season." Identify the change.
Change in quantity demand
Change in demand
15.Ink pen and ball pen are :-
Complementary
Substitutes
16.Factors affecting Demand is/are:
Price of commodity
Price of related goods
Income of Consumer
Change in Technology during production
17.Demand and want are identical terms.
True
False
18.Key and key-ring are:
Complementary
Substitutes
19.Market Demand is the aggregate of all the Individual Demand.
True
False
20.Demand Schedule is the (a) statement showing various quantities being demanded at various levels of price, during a given period of time.
21.As a result of an increase in consumer incomes, the demand for Meeps has decreased.
Based on this information, what can we definitely say about what type of good a Meep is?
It has many substitutes.
It is a complement good.
It is an inferior good.
It is a substitute good.
It is a normal good.
22.The desire to have some good or service and the ability to pay for it
supply
equilibrium
demand
quantity demanded
23.Which of these best describes the law of demand?
if prices go up, quantity demanded will fall and if prices go down, quantity demanded will go up
if prices go up, quantity demanded will also go up and if prices go down, quantity demanded will also go down
there is no law of demand, each situation is unique and demand and prices cannot be predicted
prices will go up for certain goods when quantity demanded goes up and vice versa
24.A change in the price of a good causes people to buy more or less of an item. This best describes the concept of
the demand curve
change in quantity demanded
change in demand
elasticity
25.The quantity demanded of a good or service changes at all price levels best describes the concept of
change in quantity demanded
elasticity
change in demand
demand curve
26.Which of these shows a decrease in the quantity demanded?
27.Which of these shows an increase in the quantity demanded?
28.The diagram represents a
29.If the price of Frozen Yogurt increased then the demand for ice cream will
30.The downward slope of a demand curve
31.How is a decrease in the price of a good illustrated on a demand graph?
The demand curve shifts to the right.
The demand curve shifts to the left
There is upward movement along the demand curve
There is downward movement along the demand curve.
32.When the price of good A rises, people start to drink good B. In this case, what is good B considered?
luxury good
complementary good
substitute good
normal good
33.A decrease in the average incomes of consumers will result in which of the following?
A decrease in the demand for goods and services
An increase in the demand for goods and services
A decrease in the supply of goods and services
An increase in the supply of goods and services
34.What is the relationship between the Price and Quantity Demanded?
Positive Relationship
Direct Relationship
Inverse Relationship
Mixed Relationship
Q35: The amount of goods and services consumers want is called the ___.
count
demand
number
supply
Q36: If the price of a good or service increases what will happen to the demand for it?
increase
decrease
stay the same
moves away
Q37: Demand means
the amount of a good or service that consumers are willing to buy.
is the amount of a good or service produced.
is the price that is demanded by consumers.
None of the above.
Q38: According to the Law of Demand, when prices drop ___.
demand will also drop.
demand will increase.
quantity demanded is unchanged.
supply increases.
Q39: The desire to have some good or service and the ability to pay for it
supply
equilibrium
demand
quantity demanded
Q40: Which of these best describes the law of demand?
If prices go up, quantity demanded will fall and if prices go down, quantity demanded will go up
If prices go up, quantity demanded will also go up and if prices go down, quantity demanded will also go down
There is no law of demand, each situation is unique and demand and prices cannot be predicted
Prices will go up for certain goods when quantity demanded goes up and vice versa
