A coffee chain opens up 3 new stores to serve a popular drink. How will the demand and supply for the drink be effected?

Supply and Demand would increase

Rent Control is an example of...

A Price Ceiling, A Price Control

What does an Equilibrium Point show?

When the supply and demand are in balance

Which of the following is NOT a question to ask about supply and demand shifts?

Was the shift caused by a price change?

If consumers buy more protein shakes because it's healthy, how will the supply of protein shakes be effected?

The supply will remain the same

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Chapter 6 Econ Review

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A very well put together review on chapter 6 of Econ Alive.

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Questions 20

Answers

1
A coffee chain opens up 3 new stores to serve a popular drink. How will the demand and supply for the drink be effected?
Supply Increases, Demand Decreases
Supply and Demand would increase
Supply and Demand would decrease
Supply Decreases, Demand Increases
2
Minimum wage is an example of a...
Price Floor
Quantity Control
Price Ceiling
Sales Control
3
Government Limits that determine how high or low a price can be are called...
Rent Control
Sale Control
Price Limits
Price Controls
4
What is another name for Equilibrium Price?
Market-Setting Price
Market-Clearing Price
Market-Quantity Price
Market Price
5
What occurs when the Quantity Supplied exceeds the Quantity Demanded?
A Shortage
A Surplus
A lack of producers
An Equilibrium
6
Price Ceilings lead to Excess Demand
False
True
7
Who's on the 50 cent coin?
Franklin Delano Roosevelt
Alexander Hamilton
John F Kennedy
Thomas Jefferson
8
Rent Control is an example of...
A Price Ceiling
A Price Floor
Excess Supply
A Price Control
9
Price conveys information to...
Consumers
Nobody
Producers
Consumers and Producers
10
The point at which the quantity demanded of a product matches the quantity supplied is called...
Market Price
Equilibrium Price
Market Equilibrium
Market Disequilibrium
11
What does an Equilibrium Point show?
Where to create a demand schedule
When the supply becomes too great
When the supply and demand are out of balance
When the supply and demand are in balance
12
What occurs when the quantity demanded exceeds the quantity supplied?
A Surplus
A Shortage
Equilibrium Quantity
Market Equilibrium
13
The time is takes to reach Equilibrium varies
False
True
14
This benefits the most from a Price Floor
Excess Supply
Consumers
Producers
Investors
15
What do prices do with scarce resources?
They Convey Information
They don't do anything with them
They Allocate them Efficently
They Create Incentives
16
Which of the following is NOT a question to ask about supply and demand shifts?
Does it effect supply, demand, or both?
What's the new equilibrium price and quantity?
Does it shift the curves to the right or the left?
Was the shift caused by a price change?
17
If consumers buy more protein shakes because it's healthy, how will the supply of protein shakes be effected?
The supply will increase
The supply will decrease
The supply will rise and fall periodically
The supply will remain the same
18
Price creates incentives to...
Work and Produce
Appeal and Interpret
Produce and Consume
Allocate and Respond
19
Prices allow markets to reespond to...
Scarce Resources
Changing Conditions
New Incentives
Price Ceilings
20
Rent Control makes it legal for landlords to set their own prices
True
False

Chapter 6 Econ Review Flashcards | StudBud