supply decrease and new equilibrium price

When demand increases, what will happen to the equilibrium price and quantity?

Price increases; quantity increases.

When supply increases, what will happen to the equilibrium price and quantity?

Price decreases; quantity increases.

A market is said to be in equilibrium when

the quantity demanded equals the quantity supplied.

When the quantity demanded increases, it means that

a larger amount of goods are demanded & the price is higher, a larger amount of goods are demanded .

The best definition of economics is

how people and businesses make choices

In a market economy, equilibrium is determined

through the interaction of buyers and sellers.

When supply decreases, what will happen to the equilibrium price and quantity?

Price increases; quantity decreases.

What does point A represent

situation that can’t be achieved with current resources

When demand decreases, what will happen to the equilibrium price and quantity?

Price decreases; quantity decreases.

Demand is inelastic if

equal to 1, idk, less than 1 PICK THIS ONE, more than 1

Opportunity cost is best defined as

amount given up choosing 1 activity over next best activity

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Supply and Demand Graph Review

32 termsStudBud Administration602 plays

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Flashcards32 cardsFPractice quizPHost liveL

Questions 32

Answers

1
This graph shows
supply decrease and new equilibrium price
disequilibrium
supply decrease and disequilibrium
supply increases and equilibrium
2
This graph shows...
supply decrease
demand decrease
supply increases
demand increase
3
The green line in graph shows
price floor
price ceiling
disequilibrium
equilibrium
4
This graph shows...
demand increase
demand decrease
supply decrease
supply increase
5
Elastic demand relationship to substitute goods is
i have no idea
more substitute goods
less substitute goods
whatever the answer is
6
This graph shows
demand and supply curve
price and quantity
equilibrium
all of the above
7
Price Floor Causes
surpluses
shortages
equilibrium
8
When demand increases, what will happen to the equilibrium price and quantity?
Price decreases; quantity decreases.
Price increases; quantity increases.
Price increases; quantity decreases.
Price decreases; quantity increases.
9
Which of the following events would cause demand to decrease?
Consumers leave the market.
Product is a fad.
Suppliers enter the market.
Consumers expect good things to happen in the future.
10
What is the original quantity demanded?
quantity of 7
quantity of 4
quantity of 9
quantity of 6
11
When supply increases, what will happen to the equilibrium price and quantity?
Price increases; quantity increases.
Price increases; quantity decreases.
Price decreases; quantity increases.
Price decreases; quantity decreases.
12
What is the original equilibrium price?
$15
$10
$20
$25
13
Which item does not have inelastic demand?
milk
hot cheetos
sugar
salt
14
A market is said to be in equilibrium when
the quantity demanded equals the quantity supplied.
both demand and supply have stopped changing.
there are an equal number of buyers and sellers.
no new firms are entering the industry.
15
Gasoline is an example of what type of good?
elastic
unitary
idk
inelastic
16
When the quantity demanded increases, it means that
the entire demand curve has increased in value.
a larger amount of goods are demanded & the price is higher
the entire demand curve has decreased in value.
a larger amount of goods are demanded .
17
Price Ceiling causes
shortages
surplus
18
The best definition of economics is
how money is used to stimulate the global economy
how goods and services are produced
how businesses maximize profits
how people and businesses make choices
19
Diabetic Insulin Medicine is an example of
elastic
unit elastic
idk
inelastic
20
Which of the following events would cause demand to increase?
Price of a substitute good decreases.
Product goes out of style.
Consumers have more money.
Price of a complementary good increases.
21
What is the new quantity supplied?
quantity of 13
quantity of 15
quantity of 12
quantity of 16
22
This graph shows
supply decreases
demand increases
supply increases
demand decreases
23
In a market economy, equilibrium is determined
when the government sets a stable price.
through the interaction of buyers and sellers.
by the buyers.
by the sellers.
24
Which of the following events would cause supply to increase?
More sellers enter the market.
Costs of production increase.
War breaks out in a region
A firm’s technology becomes outdated
25
When supply decreases, what will happen to the equilibrium price and quantity?
Price increases; quantity increases.
Price decreases; quantity decreases
Price increases; quantity decreases.
Price decreases; quantity increases.
26
What does point A represent
situation that can’t be achieved with current resources
a situation illustrating two products maximizing a resource
situation when the government puts restrictions on resources
situation where the resources are not being used efficiently
27
When demand decreases, what will happen to the equilibrium price and quantity?
Price decreases; quantity decreases.
Price increases; quantity increases.
Price increases; quantity decreases.
Price decreases; quantity
28
What happened to Price on this Graph
decrease
increases
doubles
stays the same
29
Demand is inelastic if
equal to 1
idk
less than 1 PICK THIS ONE
more than 1
30
Opportunity cost is best defined as
amount given up choosing one activity over all alternatives
amount given up choosing 1 activity over next best activity
the amount of money you spend on goods and services
the opportunity to earn a profit
31
Which item does have elastic demand?
Huaraches
Jordans
salt
Dr. Pepper
32
What is the new equilibrium?
$15
$10
$20
$5

Supply and Demand Graph Review Flashcards | StudBud