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Worksheets

Supply

Total questions: 20

Worksheet time: 11mins

Name
Class
Date
1.

What is total output defined as?

a)

The total quantity of inputs used

b)

The sum total of the quantity of the commodity produced

c)

The total revenue generated from sales

d)

The total number of workers employed

2.

What does stock refer to?

a)

The total quantity of goods produced

b)

The total quantity of commodity available for sale

c)

The total revenue from sales

d)

The total number of consumers

3.

How is supply expressed?

a)

In relation to profit and loss

b)

In relation to time, price, and quantity

c)

In relation to stock and consumption

d)

In relation to demand and production

4.

According to Paul Samuelson, what does supply refer to?

a)

The relationship between market prices and quantity supplied

b)

The total cost of production

c)

The total stock available for sale

d)

The total output of a commodity

5.

What is an individual supply schedule?

a)

A list of all producers in the market

b)

A summary of consumer demand

c)

A graphical representation of supply

d)

A tabular representation of quantities offered for sale

6.

Which factor does NOT influence supply?

a)

State of technology

b)

Cost of production

c)

Price of the commodity

d)

Consumer preferences

7.

What happens to supply when the price of inputs increases?

a)

Supply remains unchanged

b)

Supply decreases

c)

Supply becomes elastic

d)

Supply increases

8.

What does the law of supply state?

a)

Supply is independent of price

b)

Higher prices lead to lower supply

c)

Supply decreases with demand

d)

Higher prices lead to higher supply

9.

What is a backward bending supply curve of labor?

a)

A curve that slopes downward

b)

A curve that remains constant

c)

A curve that slopes upward

d)

A curve that initially rises and then falls

10.

Which of the following is an example of a perishable good?

a)

Antique goods

b)

Garments

c)

Fish

d)

Furniture

11.

What is an increase in supply?

a)

A constant supply despite price changes

b)

A decrease in demand

c)

A rise in supply due to favorable changes

d)

A fall in supply due to unfavorable changes

12.

What does contraction of supply refer to?

a)

A decrease in quantity supplied due to price fall

b)

A shift in the supply curve to the right

c)

An increase in quantity supplied

d)

An increase in demand

13.

What is the effect of government policy on supply?

a)

It has no effect

b)

It can encourage or discourage supply

c)

It only affects demand

d)

It only affects production costs

14.

What is the relationship between supply and future price expectations?

a)

Higher future prices may increase supply

b)

Higher future prices may decrease supply

c)

Future prices have no impact on supply

d)

Supply is always constant regardless of future prices

15.

What is market supply?

a)

The supply from a single producer

b)

The total supply from all producers at each price

c)

The amount of goods sold in the market

d)

The demand for goods in the market

16.

What is the profit motive?

a)

The desire to maximize output

b)

The desire to reduce competition

c)

The desire to minimize costs

d)

The desire to achieve the best price for products

17.

What happens to supply when market prices rise?

a)

Supply decreases

b)

Supply expands

c)

Supply remains constant

d)

Supply contracts

18.

What does the supply curve illustrate?

a)

The relationship between market price and quantity supplied

b)

The relationship between demand and consumer preferences

c)

The total revenue generated by producers

d)

The cost of production for different goods

19.

The supply curve is

a)

downward sloping

b)

upward sloping

c)

level

d)

irregular

20.

Which of the following describes the Law of Supply?

a)

it is an inverse relationship between price and quantity supplied

b)

it is a direct relationship between price and quantity supplied

c)

it is an inverse relationship between price and quantity demanded

d)

it is a direct relationship between price and quantity demanded