The reason the first Gatorade tastes best on a hot day is:

Law of Diminishing Marginal Utility

If there is a shortage in the market for gas, that happens until equilibrium is restored?

buyers force an upward pressure on price

What is not true about the equilibrium point?

it can only be reached with gov intervention

During a recent ice storm, the demand for Netflix

increases due to an increase in consumer taste and preference

The flu takes out 90% of the Westside, what will most likely happen?

The demand for Azzip pizza will decrease

When adding workers starts to decrease output at a diminishing rate it is called:

Law of Diminishing Marginal Returns

If the price Ski Cola increases,

The demand for Grippos decreases

If the price of hot chocolate increases,

The demand for hot tea increases

A direct relationship between P & Q

The Law of Demand says that :

As price goes up, quantity demanded goes down

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Supply & Demand CC

28 termsStudBud Administration592 plays

Introductory review of supply and demand changes

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Questions 28

Answers

1
The reason the first Gatorade tastes best on a hot day is:
Law of Production
Law of Diminishing Marginal Returns
Marginal Effect
Law of Diminishing Marginal Utility
2
The magic point where supply and demand equal each other is
a price floor
equilibrium
Adam Smith land
a price ceiling
3
If there is a shortage in the market for gas, that happens until equilibrium is restored?
nothing, it is what it is.
the government puts a price floor into play
buyers force an upward pressure on price
sellers force a down a downward pressure on price
4
When the government sets a maximum price on a good or a service it is called:
Equilibrium
Surplus
Price Ceiling
Price Floor
5
Which are substitutes in production?
Ford trucks and Chevy Trucks
peanut butter and jelly
Saw dust and Timber
Boot cut and skinny cut jeans
6
What is not true about the equilibrium point?
it can only be reached with gov intervention
it is where QD=QS
there is no excess at equilibrium
it shifts due to changes in markets
7
During a recent ice storm, the demand for Netflix
made Hulu bankrupt
increases due to an increase in consumer taste and preference
decreased due to a lack of income
increased the supply of Netflix
8
When there is more supplied than demanded, it is called:
A Price Ceiling
A Price Floor
A Surplus
A shortage
9
The flu takes out 90% of the Westside, what will most likely happen?
Workers will get a wage increase at Holiday World because
Ski demand will increase
The demand for Azzip pizza will decrease
The supply of Azzip pizza will increase
10
When adding workers starts to decrease output at a diminishing rate it is called:
Law of Negative Marginal Returns
Law of Production Costs
Law of Diminishing Marginal Returns
Law of Diminishing Marginal Utility
11
An increase in the price of pizza will lead to an increase in which of the following?
the demand for flour
buyers
the supply of coca cola
the quantity supplied of pizza
12
If the price Ski Cola increases,
The demand for Grippos increases
More consumers buy Ski
The demand for Grippos decreases
Kids gain weight
13
If the price of hot chocolate increases,
The demand for hot tea increases
The demand for marshmallows is unchanged
The demand for marshmallows increases
The demand for ice cream increases
14
Marshmallows and hot chocolate are:
No relationship
Substitutes in demand
Inferior Goods
Complements in demand
15
Minimum Wage is an example of
Shortage
Price Ceiling
Surplus
Price Floor
16
In order for a price ceiling to be effective it must be:
below equilibrium
at equilibrium
above equilibrium
equal to the price floor
17
Will opens a coffee shop down the street from Kevin's coffee shop
the supply of coffee increases
it reaches instant equilibrim
the supply of coffee decreases
the supply of coffee remains the same
18
A decrease in the price of peanut butter would most likely increase the demand for
Jelly
Electricity
Ham
Coffee
19
Which are complements in production
Ford Mustangs and Ford Explorers
washers and dryers
beef and leather
skinny jeans and boot cut jeans
20
One of the following is not a shifter of Supply:
# of sellers
inputs/resources
Population/ # of buyers
technology
21
A change in PRICE of a good (being graphed) causes a
a rightward shift of curve
leftward shift of curve
no change
movement along the curve
22
Technology allows Chrysler to build it's award winning Mini Van 3 times faster: What happens:
supply decreases
supply increases
demand increases
demand decreases
23
The following IS a shifter of Demand
Income
Number of Suppliers
Substitutes in Production
Taxes
24
The following is not a shifter of Demand
Number of buyers in the market
Substitutes and Complements in Demand
Taste & fads
Technology
25
The Law of Supply is
An inverse relationship between P & Q
says that when price goes up, demand goes down
A direct relationship between P & Q
based on consumers behavior
26
For many people, generic cola like Dr Thunder, is
an inferior good
a complement in production
a normal good
a complement in demand
27
The Law of Demand says that :
As price goes up, quantity demanded goes down
As Price goes up, quantity demanded remains the same
As price goes up, the quantity supplied goes up
As prices goes up,demand goes up
28
Labor Unions negotiate a wage increase for workers, what happens?
increase in Supply
Increase quantity demanded
decrease in demand
decrease in Supply

Supply & Demand CC Flashcards | StudBud