A change from Point D1 to Point D2 represents

A increase in demanded -PINT or E (A Shifter)

Which causes a shift of the demand curve? (whole line to move) IS a P.I.N.T.E.

A product is in style (taste changes)

Elastic describes demand that is

Is sensitive to change in price

An inferior good is...

One that consumers buy less of as their income rises

A surplus typically indicates that...

the price is too high so people dont buy it

The Law of Supply is a

A direct or positive relationship

Inelastic describes demand that is

NOT very sensitive to change in price

The Law of Demand says that :

As price goes up, Quantity Demanded goes down

What is the income effect?

As prices go lower, you can afford to buy more.

What is the substitution effect?

When prices rise, consumers react by buying cheaper goods

During a power outage after a storm, the demand for candles

increases to consumer preferences

When supply exceeds demand (above equilibrium)

A change from Point D1 to Point D0 represents

A decrease in demanded PINT or E (A shifter - OR Beyonce)

total amount of money a firm makes for selling goods and services.

An increase in the price of pizza will lead to an increase in which of the following?

the demand of calzones (substitute)

What does a demand curve show

amount the buyers are willing to purchase from the price

When demand exceeds supply. (Below equilibrium)

What is price elasticity of demand?

changes in demand for a product due to changes in prices

A change from Point A to Point B represents

A decrease in demand, or increase in price (A Mover)

Define demand schedule

A table listing all of the good or services demanded at each price

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PHSN Supply & Demand

38 termsStudBud Administration141 plays

Introductory review of supply and demand changes

Flashcards38 cardsFPractice quizPHost liveL

Questions 38

Answers

1
A change from Point D1 to Point D2 represents
A decrease in demand, or decrease in price (A Mover)
A increase in price, or decrease in price (A Mover)
A decrease in demanded (A shifter - goes Beyonce)
A increase in demanded -PINT or E (A Shifter)
2
Which causes a shift of the demand curve? (whole line to move) IS a P.I.N.T.E.
A product is in style (taste changes)
the price goes down
The price going up or down
The price goes up
3
When the government sets a maximum (highest ) price for a good.
equilibrium
a price ceiling
Adam Smith land
a price floor
4
What are the variable(s) in the Law of Supply
Price
No variables
Quantity Demanded and Price
Quantity Supplied and Price
5
The point where supply and demand meet is called
Adam Smith land
a price ceiling
a price floor
equilibrium
6
In demand a change in price of the thing itself results in:
Mover (moves on the line)
# of Consumers
Shifter (whole line moves)
Demand
7
Elastic describes demand that is
Goods used in place of one another
Is sensitive to change in price
Amount of goods available
NOT very sensitive to change in price
8
Spam, a meat alternative is
an inferior good
a complement
normal good
Not this one
9
When the government sets the price for a good or service at a minimum (lowest) price.
a price floor
a price ceiling
Adam Smith land
equilibrium
10
One of the following is NOT a determinant of Supply:
taxes & subsides
# of consumers
The cost of production
new technology
11
An inferior good is...
Not this one
Any good of low quality
One that has few substitutes
One that consumers buy less of as their income rises
12
A surplus typically indicates that...
the price is too high so people dont buy it
suppliers cannot meet the demand
the market is in perfect equilibrium
gov't price controls are required
13
The Law of Supply is a
says that when price goes up, demand goes down
based on consumers behavior
An indirect or inverse relationship
A direct or positive relationship
14
Inelastic describes demand that is
Amount of goods available
Is sensitive to change in price
NOT very sensitive to change in price
Goods used in place of one another
15
The Law of Demand says that :
As price goes up, Quantity Demanded goes up
As price goes up, Quantity Demanded goes down
As price goes up, the Quantity Supplied goes up
As Price goes up, Quantity Demanded remains the same
16
What is the income effect?
As prices go lower, you can afford to buy more.
As prices go higher, you can afford to buy more and more.
You will always make more money than your parents
A really cool movie
17
Marshmallows and hot chocolate are:
Compliments
Substitutes
No relationship
Inferior Goods
18
What is the substitution effect?
When demand increases, the cost of a good decreases
When prices rise, consumers react by buying cheaper goods
When prices drop, consumers invest in stocks
When demand increases, producers lower prices
19
A decrease in the price of butter would most likely decrease the demand for:
bagels
syrup
jelly
margarine
20
NOT a change in price of the thing itself results in:
Demand
Shifter (whole line moves)
Mover (moves on the line)
# of Consumers
21
After a heavy snowfall, the demand for snow shovels
decrease
The quantity of surf boards increased
increase
The quantity demanded decreased
22
During a power outage after a storm, the demand for candles
decreases due to consumer preferences
increases to consumer preferences
increases due to income, normal goods
decrease, due to inferior goods
23
Consumers buy more of a good when its price decreases and less when its price increases
Law of Demand
P.I.N.T or E.
Fair Market Value
Law of Supply
24
The following IS a determinant of Demand (P.I.N.T.E.)
# of Suppliers
Income
Subsidies
Taxes
25
What is surplus?
exceeded profit
money
demand
When supply exceeds demand (above equilibrium)
26
A change from Point D1 to Point D0 represents
A increase in demanded - PINT or E (A Shifter)
A increase in price, or decrease in price (A Mover)
A decrease in demanded PINT or E (A shifter - OR Beyonce)
A decrease in demand, or decrease in price (A Mover)
27
Total Revenue is
total amount of taxes you get back
total amount your family spends a year
total amount of money a firm makes for selling goods and services.
Sales tax
28
An increase in the price of pizza will lead to an increase in which of the following?
the demand for flour
the supply of coca cola
the demand of calzones (substitute)
the supply of salads
29
What does a demand curve show
amount the buyers are willing to purchase from the price
The products
Nothing
Amount buyers negotiate on
30
What is shortage?
supply
When demand exceeds supply. (Below equilibrium)
jobs
serfs
31
The following is NOT a determinant of Demand (P.I.N.T.E.)
Price of related good (Substitutes or Compliments)
Taste
Technology
Number of demanders
32
In supply an increase in taxes on the supplier will lead to a:
increase in Supply
decrease in demand
Increase quantity demanded
decrease in Supply
33
What is price elasticity of demand?
changes in demand for a product due to changes in prices
changes in supply for a product due to changes in prices
quality demanded of a product
supply sensitivity of a product
34
What is NOT a shift in the demand curve? Not a P.I.N.T.E.
changes in technology
changes in expectations
changes in the prices of related goods
changes in tastes
35
A decrease in the price of peanut butter would most likely increase the demand for
Jelly
Coffee
Ham
Electricity
36
A change from Point A to Point B represents
A increase in demand, or decrease in price (A Shifter)
A decrease in demand, or increase in price (A Mover)
A decrease in demand, or decrease in price (A Shifter)
A decrease in price, or decrease in demand (A Shifter)
37
Does a Demand Curve have a positive or negative slope?
Positive
Negative
Probably not this one
What?
38
Define demand schedule
All of the quantities of goods and services
A graph describing all of the goods or services supplied
A graph that plots all of the quantity supplied
A table listing all of the good or services demanded at each price

PHSN Supply & Demand Flashcards | StudBud