Chapter 4- The market forces of supply and demand
Which of the following shifts the supply curve for pizza to the right?
c. a decrease in the price of cheese, an input to pizza
The best definition of a market is
c. a group of buyers and sellers of a good or service
Which of the following might lead to an increase in the equilibrium price of jelly and decrease in the equilibrium quantity of jelly sold?
c. an increase in the price of grapes, an input into jelly
Which of the following will shift the demand curve for pizza to the right?
a. an increase in the price of hamburgers, a substitute for pizza
Which of the following moves the pizza market up along a given supply curve?
a. an increase in the price of pizza
The market for which product best fits the definition of a perfectly competitive market?
a. eggs
If the economy goes into a recession and incomes fall, what happens in the market for inferior goods?
a. prices and quantities both rise
In a perfectly competitive market,
b. every seller takes the price of its product as set by market conditions
The discovery if a large new reserve of crude oil will shift the _______ curve for gasoline, leading to a _________ equilibrium price.
b. supply; lower
A change in which of the following will NOT shift the demand curve for hamburgers
b. the price of hamburgers
An increase in _______ will cause a movement along a given supply curve, which is called a change in _________.
d. demand; quantity supplied
If pasta is an inferior good, then the demand curve shifts to the ________ when ________ rises.
d. left; consumers' income
Movie tickets and film streaming services are substitutes. If the price of film streaming increases, what happens in the market for movie tickets?
d. the demand curve shifts to the right
