stud
bud
Sign up
Log in
Home
Library
Explore
SAT
More
VCE Economics Unit 1 AOS2 Quiz Flashcards | StudBud
Explore
/
VCE Economics Unit 1 AOS2 Quiz
VCE Economics Unit 1 AOS2 Quiz
15 terms
·
StudBud Administration
·
163 plays
#economics #vce
Flashcards
15 cards
F
Practice quiz
P
Host live
L
Questions
15
Answers
1
The law of supply is that
when supply increases price increases
when supply decrease price increases
when price increases supply decreases
when price decreases supply decreases
2
A contraction of demand is expressed on a diagram as...
a movement along the demand curve
a shift of the demand curve
3
If good X and good Y are complements, if the price of X goes down then...
the demand for good Y will increase
the demand for good Y will decrease
4
Equilibrium in a market is where
demand is greater than supply
supply is greater than demand
quantity demanded equals quantity supplied
where the two curves intersect on the graph
5
If costs of production decrease supply will
increase
decrease
6
Ceteris paribus means...
Taking into consideration all variables
No one knows....
All variables held constant
Give equal weighting to all variables
7
An increase in demand at every price would lead to a...
higher equilibrium price and higher quantity
lower equilibrium price and lower quantity
lower equilibrium price and higher quantity
higher equilibrium price and lower quantity
8
A surplus occurs when...
S < D
D > S
D = S
D < S
9
An example of a non-price supply factor is...
income
interest rates
consumer confidence
productivity growth
10
A shift to the left of the demand curve would lead to a...
surplus, decrease in price
shortage, decrease in price
shortage, increase in price
surplus, increase in price
11
Which of the following is not a characteristic of a perfectly competitive market?
Many Sellers
Differentiated goods
Homogenous goods
Easy entry and exit
12
In which market structure do businesses have more 'market power' and fewer sellers.
Monopolistic competition
Oligopoly
13
When good X and good Y are substitutes, a decrease in the price of good x will lead to..
A decrease in demand for good Y
an increase in demand for good Y
14
In a PCM if a producer set the price above equilibrium it would lead to a...
surplus
shortage
15
An increase in demand at every price would be a
shift to the right of demand curve
shift to the left of demand curve
