Supply and Demand Quiz

Question 1

A surplus of supply happens when______________

Accepted Answer

Quantity Supplied > Quantity Demanded

Question 2

The interaction between supply and demand determines the ___________ of the market

Accepted Answer

Equilibrium

Question 3

Which of the following is the best example of a substitute for movie tickets?

Accepted Answer

Netflix

Question 4

What does a firm's supply schedule show?

Accepted Answer

How price changes affect supply for a market

Question 5

In general, a decrease in consumer income will have what effect on demand for goods?

Accepted Answer

demand will fall

Question 6

At equilibrium, how many slices of pizza will the pizzeria supply, and at what price?

Accepted Answer

200 slices at $3.00 apiece

Question 7

If a firm sees a shortage in the market for a good or service, they are likely to

Accepted Answer

increase supply more and raise the price.

Question 8

Which of the following typically happens as prices for a good or service rises

Accepted Answer

Suppliers enter the market

Question 9

The law of supply declares which of the following?

Accepted Answer

Supply falls as price falls.

Question 10

A shortage causes market prices to____________

Accepted Answer

Rise

Questions 10