Econ Unit 1

which of the following factors would shift the demand curve?

a change in preferences change in expectations change in consumer income change in prices of other goods

which of the following will increase the supply of vanilla ice cream?

a decrease in the price of milk

an increase in the price of pineapples will result in

a larger quantity of pineapples supplied

a change in quantity demanded is represented by

a movement along the same demand curve

a decrease in the price of GPS systems will result in

a smaller quantity of GPS systems supplied

what is the difference between an increase in supply snd an increase in quantity supplied?

an increase in supply means the supply curve has shifted to the right while and increase in quantity supplied refers to a movement along a given supply curve in response to an increase in price

which of the following would cause a decrease in the supply of peanut butter

an increase in the price of peanuts

if a decrease in income leads to an increase in the demand for macaroni then macaroni is

an inferior good

If a certain type of clothing becomes more fashionable, we would expect that its price

and quantity will both decrease

last month the tecumseh corporation supplied 400 units of three ring binders at $4 per unit. This month the company supplied the same quantity of binders at $6 per unit. Based on this evidence tecumseh has experienced

decrease in supply

in a firm has an incentive to increase supply now and decrease supply in the future then the firm expects that the

price of its product will be lower in the future than it is today

how has the gorwing popularity of online shopping affected the market for goods and services sold in retail malls

the supply and demand curve for goods and services sold in retail malls shifts to the left

Recently it has been discovered that lobsters grown on lobster farms can feed an algae, which is a cheaper lobster food. As a result of this discovery

the supply curve for lobster will shift to the right

In October 2005, the U.S. Fish and Wildlife Service banned the importation of beluga caviar, the most prized of caviars, from the Caspian Sea. What happened in the market for caviar in the U.S.?

the supply curve shifted to the left

suppose that in october market analysis predicts that the price of platinum will fall in november. What happens in the platinum market in october, holding everything else constant

the supply curve shifts to the left

if in the market for peaches the supply curve has shifted to the left

the supply of peaches has decreased

studies show that the supply curve for oranges has shifted, Which of the following could explain the shift of the demand curve?

weather conditions have changed the price of fertilizer has changed the wage paid to orange pickers has changed the demand for grapefruit has changed

with an increase in income, all of the following tend to be examples of inferior goods EXCEPT: no-frills or store brand products day old bread bus rides appliances pawn shop loans

Appliances

When the price of a substitute rises

The demand for the other good rises

suppose that when the price of hamburgers increases, the Ruiz family increases their purchases of hot dogs. To the Ruiz family:

hamburgers and hotdogs are substitutes

the aging of the population has fueled an increase in the growth of retirement homes. This is an example of a rise in demand due to change in

number of consumers and tastes and preferences

James can afford to buy two pairs of shoes but is interested in buying only one pair. In estimating this demand the relevant number is

one pair, because demand represents what the buyer is both willing and able to buy

supply and demand curves both

relate quantities to prices

when prices of substitutes or complements change, consumers

relocate their budget to satisfy their desires in the least costly

the supply curve for watches

shows the relationship between the price of watches and the quantity of watches supplied

As the price of milk increases, producers are normally willing to supply greater quantities. This is known as the law of

supply

the low carb diet is an example of a change in:

tastes and preferences

which of the following best defines supply?

the amount of a good that producers are willing and able to sell at each possible price, other things constant

when income rises

the demand for normal goods rise