EC Final Chapter 4

Ch4. Which of the following might lead to an increase in the equilibrium price of jelly and decrease in the equilibrium quantity of jelly sold?

An increase in the price of grapes, an input into jelly.

Ch4. If the economy goes into a recession and incomes fall, what happens in the markets for inferior goods?

Prices and quantities both rise.

Ch4. Movie tickets and DVDs are substitutes. If the price of DVDs increases, what happens in the market for movie tickets?

The demand curve shifts to the right.

Ch4. The discovery of a large new reserve of crude oil will shift the ____ curve for gasoline, leading to a _____ equilibrium.

supply, lower

Ch4. An increase in ____ will cause a movement along a given demand curve, which is called a change in _____.

supply, quantity demanded

Ch4. A change in which of the following will NOT shift the demand curve for hamburgers?

the price of hamburgers