ECON-2301 Chapter 3

If the price of a calculator is ​$6​, 16 million calculators a year are supplied. Draw a point at this combination of price and quantity. If the price of a calculator falls to ​$1​, 4 million calculators are supplied. Draw a point at this combination of price and quantity. Along the supply​ curve, _______.

A. the price changes but all other influences on​ producers' planned sales remain the same

If the price of a yoga class rises, with all other influences on buying plans remaining the​ same, in the market for yoga classes ​_______.

B. the quantity of yoga classes demanded decreases

Eurostar boosted by Da Vinci Code ​Eurostar, the train service linking London to​ Paris, said that its sales for the​ first-half of 2006 rose 6​ percent, boosted by devotees of the blockbuster Da Vinci Code movie. CNN commented on the​ "fierce competition from budget​ airlines." This competition decreases the​ ______ Eurostar travel because Eurostar and budget airlines are​ ______. A. supply​ of; substitutes B. supply​ of; substitutes in production C. demand​ for; substitutes D. demand​ for; substitutes in production

C. demand​ for; substitutes

A decrease in the price of leather jackets, a complement in production of beef​, will​ ______ the equilibrium price of beef and​ ______ the equilibrium quantity of beef.

C. increase​; decrease

Eurostar boosted by Da Vinci Code ​Eurostar, the train service linking London to​ Paris, said that its sales for the​ first-half of 2006 rose 6​ percent, boosted by devotees of the blockbuster Da Vinci Code movie. Da Vinci Code fans in Paris increased the​ ______ travel in Paris and increased the​ ______ restaurant meals and hotel rooms. A. supply​ of; supply of B. demand​ for; supply of C. supply​ of; demand for D. demand​ for; demand for

D. demand​ for; demand for

Eurostar boosted by Da Vinci Code ​Eurostar, the train service linking London to​ Paris, said that its sales for the​ first-half of 2006 rose 6​ percent, boosted by devotees of the blockbuster Da Vinci Code movie. Da Vinci Code fans helped to raise​ Eurostar's sales because they​ ______ between London and Paris. A. increased the supply of travel B. paid for Eurostar travel using foreign currency C. prefer train travel over air travel D. increased the demand for travel

D. increased the demand for travel

Luxury car makers forecast an increase in households' incomes and an increase in the ease in which credit can be obtained. You predict that the demand for luxury cars today​ _______.

D. will increase