WorksheetsEconomics: Markets and Supply and Demand
Total questions: 19
Worksheet time: 20mins
What is the key concept of markets?
Voluntary exchange
Government intervention
Price manipulation
Monopoly control
What happens in a voluntary exchange?
Buyers and sellers are forced to make a transaction
Buyers and sellers willingly decide to make a transaction
Buyers and sellers negotiate the terms of a transaction
Buyers and sellers are not involved in the transaction
What is the purpose of price signals in markets?
To control the supply and demand
To incentivize the production of high-quality products
To manipulate the market prices
To create artificial scarcity
What happens when the price of strawberries goes up?
Buyers buy more strawberries
Buyers buy less strawberries
Sellers produce more strawberries
Sellers produce less strawberries
What is the equilibrium price and quantity in a market?
The highest price and quantity
The lowest price and quantity
The price and quantity where supply equals demand
The price and quantity where supply exceeds demand
What can cause a shift in the supply curve?
Changes in demand
Changes in price
Changes in production technology
Changes in consumer preferences
Why is an unregulated market for human organs problematic?
It leads to fair distribution of organs
It increases the supply of organs
It takes advantage of vulnerable groups
It encourages altruistic donations
What is one solution to the shortage of donated kidneys?
Creating kidney exchanges
Increasing the price of kidneys
Banning organ donations
Encouraging organ theft
What can cause fluctuations in gas prices?
Changes in supply and demand
Changes in government regulations
Changes in currency exchange rates
Changes in weather conditions
What is the main difference between economic laws and physical laws?
Economic laws are absolute, while physical laws are not
Economic laws are based on human choices, while physical laws are not
Economic laws are universally applicable, while physical laws are not
Economic laws are predictable, while physical laws are not
What is the moral question regarding a market for human kidneys?
Is it fair for rich people to buy kidneys?
Is it fair for poor people to die without kidneys?
Is it fair for doctors to perform kidney transplants?
Is it fair for the government to regulate kidney markets?
What is the World Health Organization's stance on payment for organs?
It supports payment for organs
It opposes payment for organs
It has no opinion on payment for organs
It encourages organ trafficking
What is the purpose of kidney exchanges?
To increase the price of kidneys
To decrease the supply of kidneys
To match willing donors with compatible recipients
To discourage organ donations
What do economists generally believe about prices in a free market?
Prices should be regulated by the government
Prices should be determined by supply and demand
Prices should be fixed and not change
Prices should be set by monopolies
What is the main factor that caused the decrease in gas prices in 2014?
Increased demand for gasoline
Decreased supply of gasoline
Weakened economies in Europe and China
Political instability in oil-producing countries
Use fully labelled diagrams to illustrate what will happen to the equilibrium price and quantity in each of the situations below, and then explain what has happened:
There has been a health scare relating to the consumption of chicken
Use fully labelled diagrams to illustrate what will happen to the equilibrium price and quantity in each of the situations below, and then explain what has happened:
There has been an increase in the costs of production in the motorcycle industry
Use fully labelled diagrams to illustrate what will happen to the equilibrium price and quantity in each of the situations below, and then explain what has happened:
There has been an improvement in production technology in the textile industry
Use fully labelled diagrams to illustrate what will happen to the equilibrium price and quantity in each of the situations below, and then explain what has happened:
Manufacturers in the sportswear industry have decided to raise the price of training shoes
