Which one of the following statements is correct? O A. A rise in the price of a good will cause the supply curve of that good to shift to the right (i.e. the supply of the good will increase). O B. A decrease in the prices of the factors of production used to produce a certain product will give rise to an increase in the supply of the product (illustrated by a rightward shift of the supply curve). C. A fall in the price of a good will result in a rightward shift of the demand curve, ceteris paribus (i.e. the demand for the product will increase). D. Demand is a synonym for wants. In other words, if a consumer demands a good it simply means that he or she wants the good.

Which one of the following statements is correct? O A. A rise in the price of a good will cause the supply curve of that good to shift to the right (i.e. the supply of the good will increase). O B. A decrease in the prices of the factors of production used to produce a certain product will give rise to an increase in the supply of the product (illustrated by a rightward shift of the supply curve). C. A fall in the price of a good will result in a rightward shift of the demand curve, ceteris paribus (i.e. the demand for the product will increase). D. Demand is a synonym for wants. In other words, if a consumer demands a good it simply means that he or she wants the good.

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter6: Consumer Choices

Section: Chapter Questions

Problem 17P: If a 10 decrease in the price of one product that you buy causes an 8 increase in quantity demanded...

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In the market for lawn mowers, if the price of steel, an input used in the production of lawn mowers, rises, and if at the same time homeownership increased which of the following would we expect to occur? Select one: O a. The equilibrium price will rise, and the effect on the equilibrium quantity would be ambiguous. O b. The equilibrium quantity will rise, and the effect on the equilibrium price would be ambiguous. O c. The equilibrium price will fall, and the effect on the equilibrium quantity would be ambiguous. O d. an increase in the equilibrium price and a decrease in equilibrium quantity O e. The equilibrium quantity will fall, and the effect on the equilibrium price would be ambiguous. re to search O E E Time left 0:51:32 D W Next page
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QUESTION 12 Assume that the price of cheese has decreased and the price of garlic bread (a substitute good) has decreased at the same time. How this will affect the market for pizzas? O a. Quantity of pizza would fall, and the effect on price would be ambiguous. O b. Price of pizza would rise, and the effect on quantity would be ambiguous. O. Quantity of pizza would rise, and the effect on price would be ambiguous. O d. Price of pizza would fall, and the effect on quantity would be ambiguous. QUESTION 13 Samuel owns a laundromat business in Queens, New York. He recently purchased 2 new washing machines and 2 new dryers. This will cause O a. the demand for laundromat services to increase. O b. the supply of laundromat services to decrease. O c. the demand for laundromat services to decrease. O d. the supply of laundromat services to increase. QUESTION 16 A likely example of complementary goods for most people would be O a. golf club and baseball bat. O b. tea and coffee. O c. CPA…
Which one of the following statements is correct? O A. A fall in the price of a good will result in a rightward shift of the demand curve, ceteris paribus (i.e. the demand for the product will increase). O B. A rise in the price of a good will cause the supply curve of that good to shift to the right (i.e. the supply of the good will increase). O C. A decrease in the prices of the factors of production used to produce a certain product will give rise to an increase in the supply of the product (illustrated by a rightward shift of the supply curve). O D. Demand is a synonym for wants. In other words, if a consumer demands a good it simply means that he or she wants the good.
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QUESTION 11 Assume that the price of cheese has decreased and the price of garlic bread (a substitute good) has decreased at the same time. How this will affect the market for pizzas? O a. Quantity of pizza would fall, and the effect on price would be ambiguous. O b. Price of pizza would rise, and the effect on quantity would be ambiguous. O. Quantity of pizza would rise, and the effect on price would be ambiguous. O d. Price of pizza would fall, and the effect on quantity would be ambiguous.
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