chapter 4

Which might lead to increase in equilibrium price of jelly and a decrease in equilibrium quantity of jelly sold? a. increase in price of peanut butter, a complement to jelly b. increase in price of marshmallow fluff, a substitute for jelly c. increase in price of grapes, an input to jelly d. increase in consumers incomes, as long as jelly is a normal good

c. increase in price of grapes, an input to jelly

If the economy goes into a recession and incomes fall, what happens in the markets for inferior goods? a. prices and quantities both rise b. prices and quantities both fall c. prices rise, quantities fall d. prices fall, quantities rise

a. prices and quantities both rise

The discovery of a large new reserve of crude oil will shift the _____ curve for gasoline, leading to a _____ equilibrium price. a. supply, higher b. supply, lower c. demand, higher d. demand, lower

b. supply, lower

An increase in _____ will cause a movement along a given demand curve, which is called a change in _____. a. supply, demand b. supply, quantity demanded c. demand, supply d demand quantity supplied

b. supply, quantity demanded

A change in which of these will NOT shift the hamburger demand curve? a. price of hot dogs b. price of hamburgers c. price of hamburger buns d. income of hamburger consumers

b. the price of hamburgers

Movie tickets and film streaming services are substitutes. If the price of film streaming increases, what happens in the market for movie tickets? a. the supply curve shifts left b. the supply curve shifts right c. the demand curve shifts left d. the demand curve shifts right

d. the demand curve shifts right