Microeconomics - Quiz 3
An increase in the price of shampoo will generally result in a:
decrease in the quantity of shampoo demanded.
If ramen noodles are an inferior good for Kim, then, holding all other things constant, as Kim's income increases, her demand for ramen noodles will:
decrease.
A competitive market is
a market in which there are many buyers and many sellers of the same good or service.
Which factor is MOST likely to shift the supply curve for milk to the left?
a tax on each gallon of milk produced
The demand curve for Adidas shoes has shifted to the right. What could have caused this?
an increase in enthusiasm among consumers for Adidas as an exercise shoe
Which factor would result in a decrease in the supply of a good?
an increase in input prices
Which factor would cause a supply curve to shift to the LEFT?
an increase in the cost of an input used to produce a good
Which one of the following events shifts the supply curve for mint chocolate chip ice cream to the left?
an increase in the price of cream, an ingredient in ice cream
An increase in income will be reflected in the market for passionfruit as:
an increase the demand for passionfruit if passionfruit is a normal good.
A supply schedule shows:
how much of a good or service would be demanded at different prices.
According to the law of demand, if the price of steak in Vermont ________, the quantity of steak demanded in Vermont will ______.
increases, decrease
Spaghetti and lasagna are substitutes. Holding all other things constant, this means that if the price of spaghetti increases, the demand for:
lasagna will increase.
A decrease in the quantity demanded of chocolate milk is represented by a:
movement upward and to the left along the demand curve.
(Figure: Demand for Bananas) Use Figure: Demand for Bananas. Expectations among consumers that the price of bananas will rise significantly in the near future could be represented as a:
shift from D1 to D2.
(Figure: Demand for Bananas) Use Figure: Demand for Bananas. If bananas are a normal good, an increase in the incomes of consumers could be represented as a:
shift from D1 to D2.
Researchers have found a new strain of canola (a grain used to produce canola oil) that is resistant to pesticides and drought while yielding more canola oil. Holding all else constant, this research will:
shift the supply curve for canola oil rightward.
People buy more beef when the price of poultry rises. Given this information, beef and poultry would be considered:
substitutes.
In the market for barley, if the price of ethanol (which is made from corn, a crop that competes with barley for farmland) increases dramatically, the _____ barley would _____.
supply of; decrease
Recent research suggests that certain refillable plastic water bottles may leech cancer-causing particles into the containers with repeated usage. As a result of this research being made public, one would expect:
the demand for such containers to decrease.
The demand for a good will increase if:
there is an increase in the number of consumers in this market.
