The graph depicts the market for books. Which of the following is true at a price of $22?

There is a surplus of 28 books.

Which of the following is true about the concept of increasing opportunity cost?

As production of goods increase, opportunity cost increases.

Which of the following will not change the demand for oranges?

A change in the price of oranges.

Which of the following statements regarding demand curves is NOT true?

There is a direct relationship between price and quantity.

Which will occur if a price floor is placed on a good below its free market equilibrium?

The equilibrium price will ration the good.

Which of the following will not cause the demand curve for designer shoes to shift?

A decrease in the price of designer shoes.

An increase in price of gas will cause the demand curve for tires to change in which direction?

To the left, because gas and tires are complements.

The government says pineapples increase pneumonia. What happens to market price and quantity?

Price decrease; Quantity decrease

Producer surplus is the

area under the supply curve to the left of the amount sold.

According to the theory of comparative advantage, a good should be produced at the point where

its opportunity costs are least.

worth expressed in dollars and cents

Why do centrally planned economies have shortages and poor-quality goods?

Central planners have trouble predicting preferences.

A competitive market has many buyers and sellers, what is a perfectly competitive market?

So many buyers and sellers, no one can affect market price.

Having unlimited human wants with limited resources.

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Brittany's Unit 1 A.P. Economics Quiz

25 termsStudBud Administration29 plays

An A.P. Economics quiz, that focuses on Unit 1: Economic Systems, Production Possibilities Curve, Trade and Comparative Advantage, Circular Flow Model, Demand, Supply and Equilibrium, Shifting Demand and Supply, and Price Controls and Elasticity.

Flashcards25 cardsFPractice quizPHost liveL

Questions 25

Answers

1
The graph depicts the market for books. Which of the following is true at a price of $22?
There is a surplus of 41 books.
There is a surplus of 28 books.
There is a shortage of 28 books.
There is a shortage of 41 books.
2
Which of the following is NOT a factor of production?
Labor
Capital
Entrepreneurship
Wages
3
Which of the following is true about the concept of increasing opportunity cost?
As production of goods increases, opportunity cost decrease.
As production of goods increase, opportunity cost increases.
As production of goods decrease, opportunity cost increases.
As production of goods decreases, opportunity cost decrease.
4
Which of the following will not change the demand for oranges?
A change in consumers incomes.
A change in the price of oranges.
A change in consumers taste for oranges.
An expectation that the price of oranges will increase.
5
Which of the following is synonymous with Factors of Production?
Real Output
Goods and Services
Aggregate Supply
Economic Resources
6
Which of the following statements regarding demand curves is NOT true?
The demand curve is downward sloping.
A demand curve is a representation of a demand schedule.
There is an inverse relationship between price and quantity.
There is a direct relationship between price and quantity.
7
Which will occur if a price floor is placed on a good below its free market equilibrium?
Shortages will develop.
The equilibrium price will ration the good.
The quantity sold will increase.
Surpluses will develop.
8
When one decision is made, the next best alternative not selected is called _________.
opportunity cost
comparative advantage
scarcity
comparative disadvantage
9
Which of the following will not cause the demand curve for designer shoes to shift?
A change in tastes for designer shoes.
Expectations that the price of designer shoes will decrease.
Widespread advertising campaign for designer shoes.
A decrease in the price of designer shoes.
10
An increase in price of gas will cause the demand curve for tires to change in which direction?
To the right, because gas and tires are complements.
To the left, because gas and tires are substitutes.
To the left, because gas and tires are complements.
To the right, because gas and tires are substitutes.
11
Which of the following is NOT a general characteristic of inelastic goods?
Not necessities
Few substitutes
Elasticity coefficient less than 1
Small portion of income
12
The government says pineapples increase pneumonia. What happens to market price and quantity?
Price increase; Quantity decrease
Price increase; Quantity increase
Price indeterminate; Quantity decrease
Price decrease; Quantity decrease
13
Producer surplus is the
amount the seller is paid less the cost of production.
amount the seller is paid plus the cost of production.
area under the supply curve to the right of the amount sold.
area under the supply curve to the left of the amount sold.
14
According to the theory of comparative advantage, a good should be produced at the point where
its explicit costs are least.
its opportunity costs are least.
production can occur with greatest increase in employment.
production can occur with the lowest increase in employment.
15
Alex can build one box in 35 hours or two vases in 70. What is his opportunity cost of one box?
2 vases
1/2 vase
0 vases
1 vase
16
If the market price of oranges decreases, then what must be true?
III and IV
I and II
II and III
I and IV
17
Define value.
items that satisfy an economic want
work performed for someone that is intangible
accumulation of goods that are tangible, scarce, and useful
worth expressed in dollars and cents
18
There are three economic systems, which of these is NOT one of these systems?
Mixed
Republic
Command
Free Market
19
Why do centrally planned economies have shortages and poor-quality goods?
Workers incentivized by high wages, resources are limited.
The government imposes strict regulations on all businesses.
Workers are afraid to unionize and demand higher wages.
Central planners have trouble predicting preferences.
20
Which of these economic assumptions is NOT true?
Society has unlimited wants and limited resources.
People act irrationally.
Due to scarcity, choices must be made, which have a cost.
Everyone acts in their own self-interest.
21
If the price of a good decreases by 3 percent and revenue increases, the elasticity of demand
could be 0.0%
could be 1%
could be 1.3%
could be 0.2%
22
A competitive market has many buyers and sellers, what is a perfectly competitive market?
So many buyers and sellers, that market price decreases.
So many buyers and sellers, no one can affect market price.
Not enough buyers and sellers, so market price increases.
Not enough buyers and sellers, so market price stagnates.
23
A downward sloping demand curve can be explained by all of these except
the substitution effect.
the income effect.
diminishing marginal utility.
diminishing marginal returns.
24
The law of demand is the result of three separate behavior patterns, which of these is not one?
Substitution effect
Income effect
Law of Diminishing Marginal Utility
Law of Market Stagnation
25
Define scarcity.
When expenses are less than the income taken in.
The ability to restructure an economy to increase supply.
Having unlimited human wants with limited resources.
Market force that restricts quantity of supply and demand.

Brittany's Unit 1 A.P. Economics Quiz Flashcards | StudBud

Brittany's Unit 1 A.P. Economics Quiz

25 termsStudBud Administration29 plays

Flashcards25 cardsFPractice quizPHost liveL

Questions 25

Answers

1
The graph depicts the market for books. Which of the following is true at a price of $22?
There is a surplus of 41 books.
There is a surplus of 28 books.
There is a shortage of 28 books.
There is a shortage of 41 books.
2
Which of the following is NOT a factor of production?
Labor
Capital
Entrepreneurship
Wages
3
Which of the following is true about the concept of increasing opportunity cost?
As production of goods increases, opportunity cost decrease.
As production of goods increase, opportunity cost increases.
As production of goods decrease, opportunity cost increases.
As production of goods decreases, opportunity cost decrease.
4
Which of the following will not change the demand for oranges?
A change in consumers incomes.
A change in the price of oranges.
A change in consumers taste for oranges.
An expectation that the price of oranges will increase.
5
Which of the following is synonymous with Factors of Production?
Real Output
Goods and Services
Aggregate Supply
Economic Resources
6
Which of the following statements regarding demand curves is NOT true?
The demand curve is downward sloping.
A demand curve is a representation of a demand schedule.
There is an inverse relationship between price and quantity.
There is a direct relationship between price and quantity.
7
Which will occur if a price floor is placed on a good below its free market equilibrium?
Shortages will develop.
The equilibrium price will ration the good.
The quantity sold will increase.
Surpluses will develop.
8
When one decision is made, the next best alternative not selected is called _________.
opportunity cost
comparative advantage
scarcity
comparative disadvantage
9
Which of the following will not cause the demand curve for designer shoes to shift?
A change in tastes for designer shoes.
Expectations that the price of designer shoes will decrease.
Widespread advertising campaign for designer shoes.
A decrease in the price of designer shoes.
10
An increase in price of gas will cause the demand curve for tires to change in which direction?
To the right, because gas and tires are complements.
To the left, because gas and tires are substitutes.
To the left, because gas and tires are complements.
To the right, because gas and tires are substitutes.
11
Which of the following is NOT a general characteristic of inelastic goods?
Not necessities
Few substitutes
Elasticity coefficient less than 1
Small portion of income
12
The government says pineapples increase pneumonia. What happens to market price and quantity?
Price increase; Quantity decrease
Price increase; Quantity increase
Price indeterminate; Quantity decrease
Price decrease; Quantity decrease
13
Producer surplus is the
amount the seller is paid less the cost of production.
amount the seller is paid plus the cost of production.
area under the supply curve to the right of the amount sold.
area under the supply curve to the left of the amount sold.
14
According to the theory of comparative advantage, a good should be produced at the point where
its explicit costs are least.
its opportunity costs are least.
production can occur with greatest increase in employment.
production can occur with the lowest increase in employment.
15
Alex can build one box in 35 hours or two vases in 70. What is his opportunity cost of one box?
2 vases
1/2 vase
0 vases
1 vase
16
If the market price of oranges decreases, then what must be true?
III and IV
I and II
II and III
I and IV
17
Define value.
items that satisfy an economic want
work performed for someone that is intangible
accumulation of goods that are tangible, scarce, and useful
worth expressed in dollars and cents
18
There are three economic systems, which of these is NOT one of these systems?
Mixed
Republic
Command
Free Market
19
Why do centrally planned economies have shortages and poor-quality goods?
Workers incentivized by high wages, resources are limited.
The government imposes strict regulations on all businesses.
Workers are afraid to unionize and demand higher wages.
Central planners have trouble predicting preferences.
20
Which of these economic assumptions is NOT true?
Society has unlimited wants and limited resources.
People act irrationally.
Due to scarcity, choices must be made, which have a cost.
Everyone acts in their own self-interest.
21
If the price of a good decreases by 3 percent and revenue increases, the elasticity of demand
could be 0.0%
could be 1%
could be 1.3%
could be 0.2%
22
A competitive market has many buyers and sellers, what is a perfectly competitive market?
So many buyers and sellers, that market price decreases.
So many buyers and sellers, no one can affect market price.
Not enough buyers and sellers, so market price increases.
Not enough buyers and sellers, so market price stagnates.
23
A downward sloping demand curve can be explained by all of these except
the substitution effect.
the income effect.
diminishing marginal utility.
diminishing marginal returns.
24
The law of demand is the result of three separate behavior patterns, which of these is not one?
Substitution effect
Income effect
Law of Diminishing Marginal Utility
Law of Market Stagnation
25
Define scarcity.
When expenses are less than the income taken in.
The ability to restructure an economy to increase supply.
Having unlimited human wants with limited resources.
Market force that restricts quantity of supply and demand.