WorksheetsM5 Midterm Review
Total questions: 45
Worksheet time: 15mins
To predominate; be most common
prevail
demand
incentive
utility
In the opposite way
incentive
inversely
marginal
demand
Combination of quantities that someone would be willing and able to buy over a range of possible prices at a given moment
supply
demand
utility
marginal utility
Branch of economic theory that deals with behavior and decision-making by small units such as individuals and firms
market demand curve
elasticity
microeconomics
economics
List showing the quantity demanded at all possible prices that might prevail in the market at a given time
market demand curve
demand curve
demand schedule
law of demand
Something that motivates
demand
supply
economics
incentive
Graph showing the quantity demanded at every possible price that might prevail in the market at a given time
demand curve
market demand curve
demand schedule
individual demand schedule
Rule stating that more will be demanded at lower prices and less at higher prices
law of supply
law of demand
ohm's law
the economic law
Satisfaction or usefulness obtained from acquiring one more unit of a product
utility
marginal utility
diminishing marginal utility
the income effect
The decrease in satisfaction or usefulness as additional units of a product are acquired
utility
marginal utility
diminishing marginal utility
the income effect
Fundamental law or idea
principal
theory
complement
illustration
Shown with an image or example
demonstrated
illustrated
Animated
dramatized
Movement along the demand curve showing that a different quantity is purchased in response to a change in price
substitution effect
change in demand
income effect
change in quantity demanded
The portion of a change in quantity demanded caused by a change in a consumer's income when the price of a product changes
substitution effect
change in demand
income effect
change in quantity demanded
The portion of a change in quantity demanded that is due to a change in the relative price of a good
substitution effect
change in demand
income effect
change in quantity demanded
Different amounts of a product are demanded at every price, causing the demand curve to shift to the left or the right
change in demand
change in quantity demanded
change in supply
change in quantity supplied
Products related in such a way that an increase in the price of one increases the demand for the other
complements
compliments
substitutions
substitutes
Products related in such a way that an increase in price of one reduces the demand for both
complements
compliments
substitutions
substitutes
How does the principal of diminishing marginal utility explain the price we pay for another unit of a good or service?
the more we use a product, the less satisfaction we get from it.
the more we use a product, the greater the satisfaction.
the less we use a product, this raises demand
the more demand for a product, the lower the price goes
People get tired of mint ice cream. They buy Oreo ice cream instead. This is a change in
consumer tastes
consumer income
demand schedule
marginal utility
The cost of a pair of Nike shoes is $2,500. The cost of a pair of New Balance shoes is $1,000. Therefore, more New Balance shoes are sold. This is an example of:
demand schedule
substitutes
change in quantity demanded
inversely
Which direction does the demand curve move when demand goes down?
the curve stays the same, only the points move
to the right
to the left
nothing changes at all
The price of lamb drops by 30 percent, leaving consumers with extra money after buying lamb. This is an example of:
law of demand
elasticity
marginal utility
income effect
Apple has a sale for iPhones, making the quantity demanded go up. This is a/an
change in demand
income effect
substitute
compliment
If pork becomes cheaper than chicken, people will buy more pork than chicken. This is:
change in quantity demanded
substitution effect
marginal utility
microeconomics
If the price of a product increases, quantity demanded:
decreases
stays the same
increases
substitution
What is the effect of a change in price on quantity demanded?
if the price goes down, quantity demanded increases. If the price goes up, quantity demanded decreases
if the price goes down, quantity demanded decreases. If the price goes up, quantity demanded increases.
if the price goes up, quantity demanded increases
if demand decreases, less of a produce will become available
You buy one bottle of water for $15. Since you are no longer thirsty, you are only willing to pay $10 for a second bottle of water. This is an example of:
diminishing marginal utility
substitutes
income effect
elasticity
A consumer is laid off from his job and cannot afford to buy ice for his drinks. This is a change in
consumer income
consumer taste
incentive
principle
What factor will affect demand?
consumer taste
principle
income effect
microeconomics
When employees are offered extra money to work extra hours, they are being given a/an
compliment
incentive
raise
substitution
Which direction does the demand curve move when demand goes up?
the curve stays the same, only the points move
to the right
to the left
nothing changes at all
What is it called in Economics, "a study of how we behave when things around us change?
science
economics
social science
human change
Which is NOT a factor of change in demand?
consumer beliefs
consumer income
complements
consumer tastes
Which is NOT one of the three cases of demand elasticity?
elastic demand
inelastic demand
estimating elastic demand
unit elastic demand
Which question do you ask when determining the elasticity of a specific good?
can the purchase be returned?
can the purchase be delayed?
are adequate substitutes available?
does the purchase use a large portion of income?
A change in quantity demanded is only caused by
diminishing marginal utility
substitution effect
change in price
change in income
Demand helps societies determine
what, how, and for whom to produce
nothing
why to produce
where to produce
What word describes “just enough to satisfy a requirement”?
elastic
technical
adequate
inelastic
In a market economy, how many questions are asked for people and firms to act on their own interests?
(a)
When a theory proves true after repeated tests and fits within our larger understanding of the field, what is this called?
(a)
What two elements are required for demand?
(a)
What is another way to say total expenditure?
(a)
What shift causes the change in quantity demanded when dealing with the substitution effect?
(a)
What happens to demand when the price decreases?
(a)
