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Market Concepts Quiz

Total questions: 15

Worksheet time: 12mins

Name
Class
Date
1.

What is individual demand?

a)

The total demand of all people

b)

The demand for luxury goods

c)

How many goods a single person is willing to buy

d)

The demand for imported goods

2.

Which of the following is NOT a component of demand?

a)

Desire

b)

Willingness

c)

Ability

d)

Production

3.

What is the relationship between price and quantity demanded in a demand schedule?

a)

Direct relationship

b)

Inverse relationship

c)

No relationship

d)

Random relationship

4.

At a price of $1.00, how many Frosties are demanded per day?

a)

4

b)

8

c)

13

d)

19

5.

What does the term 'marginal utility' refer to?

a)

The total utility of all units consumed.

b)

The utility of the first unit consumed.

c)

The utility of each additional unit consumed.

d)

The utility of the last unit consumed.

6.

What does the demand curve D1 indicate when DVDs cost $30 each?

a)

Q3 units will be demanded.

b)

Q1 units will be demanded.

c)

Q2 units will be demanded.

d)

No units will be demanded.

7.

What happens to demand when the price of an item has a very big effect on the quantity demanded?

a)

The demand is elastic.

b)

The demand is inelastic.

c)

The demand is constant.

d)

The demand is unpredictable.

8.

Which of the following is an example of a demand inelastic good?

a)

Salt

b)

Candy bars

c)

Cars

d)

Goods with substitutes

9.
Goods that are bought and used together are 
a)
complementary goods
b)
substitute goods
c)
income goods
d)
unrelated goods
10.
A surplus happens when
a)
prices are too low relative to consumer demand.
b)
prices are too high relative to consumer demand.
c)
prices are too low relative to producer demand
d)
prices are too high relative to producer demand.
11.
The Law of Supply states:
a)
as price increases, supply increases
b)
as prices decrease, supply increases
c)
as price increases, quantity demanded decreases
d)
as price decreases, quantity demanded decreases
12.
Quantity supplied is equal to quantity demanded
a)
Market Equilibrium
b)
Surplus
c)
Shortage
d)
Marginal Utility 
13.
Decline in satisfaction with the addition of 1 more quanitity
a)
Diminishing Marginal Utility
b)
Shortage
c)
Marginal Utility
d)
Income Effect
14.
When quantity supplied is greater than quantity demanded, you have a ____________.
a)
shortage
b)
surplus
c)
deficit
d)
equilibrium
15.
When a products need is not urgent, demand is 
a)
inelastic 
b)
elastic
c)
complementary
d)
unit elastic