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Demand and Supply MCQs for SS2

Total questions: 10

Worksheet time: 5mins

Name
Class
Date
1.

Which of the following factors does NOT affect the demand for a good?

a)

Price of the good

b)

Price of substitute goods

c)

Technology used in production

d)

Consumer income

2.

When the price of a product falls, the quantity demanded usually:

a)

Increases

b)

Decreases

c)

Remains constant

d)

Becomes zero

3.

A shift in the demand curve to the right indicates:

a)

An increase in demand

b)

A decrease in demand

c)

A decrease in supply

d)

An increase in price

4.

Which of the following is likely to cause a shift in the supply curve to the left?

a)

Improvement in technology

b)

Increase in production costs

c)

A fall in the price of substitute goods

d)

Increase in consumer income

5.

The law of demand states that:

a)

As price increases, demand increases

b)

As price increases, demand decreases

c)

As demand increases, price decreases

d)

Demand and price are unrelated

6.

If two goods are complementary, a rise in the price of one will:

a)

Increase the demand for the other

b)

Decrease the demand for the other

c)

Not affect the demand for the other

d)

Increase the supply of the other

7.

A movement along the demand curve is caused by:

a)

A change in the price of the good

b)

A change in consumer income

c)

A change in the price of a substitute good

d)

A change in consumer preferences

8.

Which of the following best describes equilibrium price?

a)

The price at which demand is highest

b)

The price at which supply is highest

c)

The price at which quantity demanded equals quantity supplied

d)

The price at which sellers maximize profit

9.

A rightward shift in the supply curve is likely to occur due to:

a)

A decrease in production costs

b)

A decrease in consumer demand

c)

An increase in taxes

d)

An increase in the price of raw materials

10.

Which of the following is NOT a factor that can shift the demand curve?

a)

Changes in consumer preferences

b)

Changes in the price of the good itself

c)

Changes in population size

d)

Changes in the price of related goods