The cost added by making one additional unit.

What is consumer surplus?

amount buyer is willing to pay - amount buyer actually pays

What is producer surplus

The amount a seller is paid minus the cost of production

Why is supply inelastic in the short run?

Producers cannot change output quickly

Marginal product of labor measures

change of total output from one more worker

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Econ Review Game

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Supply and demand

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Questions 24

Answers

1
The cost of the dye you use to color your custom shirts goes up in price. supply curve shifts
Goes away
Stays the same
Right
Left
2
If chocolate makers raise their price by 20% how does the supply curve shift?
Does not shift
Shifts to demand curve
Shifts left
Shifts right
3
marginal cost is
The cost added by making one additional unit.
The overall cost of opening another factory
The money gained by making one more unit
The cost of running a business
4
a legally established maximum price a seller can charge is a
Fallout Price
Price Catch
Price Ceiling
Price Floor
5
where is the consumer surplus
Blue Line
Blue Triangle
Red Line
Red Triangle
6
What does supply mean?
How much school supplies my parents buy me
How much of a product there is
How much people want something
7
In an efficient market, deadweight loss is
large
small
zero
undefinable
8
When total consumer surplus is maximized
we get maximum consumer satisfaction
we get market efficiency
we get maximum fairness
there is enough to go around for everyone
9
What is consumer surplus?
amount buyer received - amount buyer actually pay
amount buyer is willing to pay - amount buyer actually pays
amount a seller is paid minus the cost of production.
amount seller pay - amount seller receive
10
What is producer surplus
The amount a seller is paid minus the cost of warehousing
The amount a seller is paid minus the opportunity cost
The amount a seller is paid minus the cost of production
The amount a seller is paid minus the cost of distribution
11
Why is supply inelastic in the short run?
Producers cannot change output quickly
Producers adapt quickly to market forces
Producers are not sure what to supply
Suppliers can't know demand
12
Mr. Weesner's favorite movie is
Rocky
Braveheart
Saving Private Ryan
Terminator 2 Judgement Day
13
If a firm decides to produce no output in the short run, its costs will be
marginal costs
variable costs
zero
fixed costs
14
If the quantity supplied exceeds the quantity demanded in a market, what is the result?
surplus
nothing
dead weight loss
marginal loss
15
when supply decreases, price
Increases
Stays the same
Decreases
16
What part of the cost equation do coffee beans fall into for creating specialty coffees?
variable costs
total costs
marginal revenue
fixed cost
17
The vertical distance between the supply curve and the new effective supply curve is...
equal to the tax
less than the rise in price
equal to the rise in price
less than the tax
18
Marginal product of labor measures
change of total output from one more worker
change of revenue from hiring one more worker
output of all workers
cost of hiring one more worker
19
When price decreases
consumer surplus decreases
consumer surplus increases
none of the other choices
it stays the same
20
Which of the following is most likely to be a fixed cost?
shipping charges
buying needed supplies to make the good or service
rent
wages for a worker
21
Mr. Weesner's favorite game is
Civilization 6
Hearts of Iron 4
Cities Skylines
Forza 6
22
When demand increases, price
stays the same
decreases
increases
23
If there is an increase cost for a complement good, the demand for your good will
stay the same
go up
go down
24
When demand decreases, price
Increases
Stay the same
Decreases

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