WorksheetsSupply and Demand Quiz
Total questions: 15
Worksheet time: 8mins
What is the definition of supply?
The maximum amount of a product that sellers are willing and able to provide over some time period at various prices
The maximum amount of a product that producers are willing and able to provide over some time period at one price
The maximum amount of a product that buyers are willing and able to purchase over some time period at various prices
The maximum amount of a product that buyers are willing and able to purchase over some time period at one price
Oliver and Evelyn are at a candy store. The price of their favorite candy drops. According to the law of demand, what would likely happen?
Oliver and Evelyn would want to buy more candy (As prices decrease, quantity demanded increases)
Oliver and Evelyn would want to buy less candy (As prices decrease, quantity demanded decreases)
Oliver and Evelyn would want to buy the same amount of candy (As prices increase, quantity demanded stays the same)
Imagine Abigail and Jose are running a lemonade stand. They are trying to figure out the relationship between the price of their lemonade and how much they sell. What does this scenario illustrate?
The relationship between price and quantity demanded
The relationship between price and quantity supplied
The relationship between income and quantity demanded
The relationship between price and income
What is the law of supply?
As prices increase, quantity supplied decreases
As prices increase, quantity supplied increases
As prices decrease, quantity supplied increases
Avery is running a lemonade stand. They discover a new method to make lemonade that reduces their production cost. What happens to the supply of their lemonade?
It decreases
It increases
It remains the same
It fluctuates
Avery is running a lemonade stand. Suddenly, the price of their competitor Abigail's orange juice falls. What happens to the supply of Avery's lemonade?
It fluctuates
It remains the same
It decreases
It increases
Avery is running a lemonade stand. They are considering whether to accept a subsidy from their parents. What effect would this subsidy have on their lemonade supply?
It has no effect on supply
It fluctuates supply
It increases supply
It decreases supply
What happens to the supply curve for a product when the number of sellers in the market increases?
It increases
It decreases
It fluctuates
It remains the same
What happens to the demand for an inferior product when income increases?
It decreases.
It increases.
It stays the same.
It fluctuates.
What happens to the demand for a product when consumers expect it to be more expensive in the future?
It increases.
It decreases.
It stays the same.
It fluctuates.
What is market equilibrium?
When quantity demanded is less than quantity supplied
When quantity demanded is more than quantity supplied
When quantity demanded equals quantity supplied
When quantity demanded is unrelated to quantity supplied
Imagine you are the world's top economist. You've just discovered that the world is facing the biggest rice shortage in 20 years! What do you predict will happen to the price of rice in the global market?
Price will decrease
Price will increase
Price will remain the same
What do you predict will happen to the price of cotton due to the decrease in supply caused by climate change and other factors?
Price will increase
Price will decrease
Price will remain the same
Jamal and Luna are having a debate about price gouging. They are discussing different scenarios. Which of the following scenarios they discussed would be a good example of price gouging?
Stores increase the price of warm coats during the winter
Stores increase the price of candy in the month before Halloween
Stores increase the price of bottled water in the days before an incoming hurricane
Assume that the demand and supply for electric vehicles increases. What should happen to the price and quantity in this market?
Price will increase and quantity will increase
Price will decrease and quantity will increase
Price will either increase or decrease depending on which shift is larger and quantity will definitely increase
