If a non-price determinant of demand changes....

the demand curve shifts left or right

there is movement along the demand curve

Demand has which two requirements?

peoples' willingness and ability to consume

The law of demand says...

the lower the price the higher the quantity

A 'production possibilities curve' (PPC) can be used to show...

the limits of production, trade-offs between two goods

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IB Econ Intro - PPC, etc

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Introductory Concepts and Demand Theory

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Questions 15

Answers

1
If a non-price determinant of demand changes....
equilibrium is lost
the demand curve shifts left or right
the demand curve twists
there is movement along the demand curve
2
'Factors of production' include ....
food
air
land
water
3
Income is a determinant of demand that requires knowing whether a good is....
superior or weak
cheap or expensive
affordable or unaffordable
normal or inferior
4
Efficiency is about avoiding waste while equity is about...
fairness
the bond market
increasing output
stretching an economy
5
If price changes...
there is a demand curve shift
equilibrium is reached
quantity remains unchanged
there is movement along the demand curve
6
The big three economic questions are....
what, why, how
what, how, for whom
when, why, how
how, what, when
7
Demand for pumpkins may diminish after Halloween due to the determinant...
expectations of future prices
seasonal goods
population
incomes
8
An industry with many small firms selling identical goods is referred to as ...
monopoly
perfect competition
monopolistic competition
oligopoly
9
The determinant 'related goods' refers to things that are...
robust or expendable
inferior or superior
luxury or necessity
complements or substitutes
10
If the price of coffee falls, it is likely that demand for a complement like cream will...
rise
be in surplus
fall
be unaffected
11
Demand has which two requirements?
desire for inferior and normal goods
peoples' willingness and ability to consume
preference for free and economic goods
central planning and markets
12
The law of demand says...
the lower the price the higher the quantity
the higher the price the higher the quantity
the higher the quantity the higher the price
the lower the price the lower the quantity
13
Growth is about increasing output while development is about
non-renewable resource use
improving living standards
maximizing use of scarce resources
policing
14
Two current national allocation systems for goods include a market system and....
Fascism
Monarchy
Subsistence
Central Planning
15
A 'production possibilities curve' (PPC) can be used to show...
the limits of production
determinants of demand
price and quantity relationships
trade-offs between two goods

IB Econ Intro - PPC, etc Flashcards | StudBud