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Alyssa rents 5 movies per month when the price is 3.00 dollars each and 7 movies per month when the price is 2.50. Alyssa has demonstrated?

Law of demand.

A demand curve illustrates the?

Maximum quantity of two goods an economy is capable of producing with available resources and technology?

Lead is an important input in the production of crystal. If the price of lead decreases, all else equal, we would expect the supply of?

crystal to increase.

Which of the following would definitely result in a higher price in the market for Snickers?

demand increases and supply decreases.

In a competitive market, each seller has limited control over the price of his product because?

in competitive markets, buyers have more influence over price than sellers.

When constructing a demand curve?

price is on the vertical axis and quantity is on the horizontal axis.

Other things equal, when the price of a good rises, the?

quantity supplied of the good rises.

An advance in production technology will?

shift the supply curve to the right.

Suppose that a decrease in price of X results in less of good Y sold. This would mean that X and Y are?

substitute goods.

In a free market, who determines how much of a good will be sold and the price at which it is sold?

suppliers and demanders together.

Markets move toward equilibrium of supply and demand because of?

the actions of buyers and sellers.

When evaluating differences or similarities between an increase in supply and an increase in quantity supplied we know that?

the former is a shift of the curve and the latter is a movement along the curve.

Which of the following would NOT be a determinant of demand?

the prices of the inputs used to produce the good.

At the equilibrium price?

there can still be upward or downward pressure on price.

You have decided to purchase a new Mustang convertible. A friend tells you that Ford will be offering a 3000 dollar rebate on Mustangs starting next month. As a result of this information your demand will?

For Mustangs it will shift right today.

When the price of a good or service changes?

demand shifts in the opposite direction.

Suppose there is an increase in input prices. We would expect supply to?

Decrease.

What is an Example of complementary goods?

Hamburgers and fries.

A market demand curve reflects?

How quantity demanded changes when the number of buyers changes.

If a surplus exists in a market we know that the actual price is?

above equilibrium price and quantity demanded is greater than quantity supplied.

A supply curve slopes upwards because?

an increase in price gives producers incentive to supply a largest quantity.