Recent

  • Show all results for ""

🎧 New: AI-Generated Podcasts Turn your study notes into engaging audio conversations. Learn more

Microeconomics: Demand and Supply
10 Questions
0 Views

Microeconomics: Demand and Supply

Created by
@PicturesqueColosseum

Podcast Beta

Play an AI-generated podcast conversation about this lesson

Questions and Answers

What happens to the demand for a product when its price is very high?

  • It remains the same as consumers are unaffected by price
  • It increases because consumers are willing to pay more
  • It decreases because consumers are limited by their ability to buy (correct)
  • It depends on other factors such as income and taste

    • What is plotted on the vertical axis of a simple demand curve?

  • The quantity of the good purchased
  • The income of the consumer
  • The price of the good (correct)
  • The time period of the purchase

    • Why do suppliers increase the supply of a product when the price is high?

  • Because they can maintain a profit despite higher production costs (correct)
  • Because they cannot produce more due to limited capacity
  • Because they want to reduce their profit margin
  • Because they want to reduce their inventory

    • What happens to the desired rate of production when inventory is less than the desired inventory?

    <p>It increases to meet the demand</p> Signup and view all the answers

    What is the result of a decrease in price on the interaction between supply and demand?

    <p>Supply decreases and demand increases</p> Signup and view all the answers

    What assumption do economists make when analyzing the quantity of goods sold and purchased?

    <p>All factors other than price which affect the quantity of goods sold and purchased are held constant.</p> Signup and view all the answers

    What are the two factors that determine demand according to economic theory?

    <p>Taste and ability to buy</p> Signup and view all the answers

    What happens to demand when the market price for a product is high?

    <p>Demand decreases</p> Signup and view all the answers

    Why does the demand for a product at low prices have a limit?

    <p>Because people want only a limited quantity of a good</p> Signup and view all the answers

    What happens to the amount of products that can be purchased with the same amount of money as the price increases?

    <p>It decreases</p> Signup and view all the answers

    More Quizzes Like This

    Economics Class 11: Microeconomics, Demand and Supply, Statistics Overview
    12 questions

    Economics Class 11: Microeconomics, Demand and Supply, Statistics Over...

    QualifiedLyric avatar
    QualifiedLyric
    Economics: Theory of Demand and Supply
    10 questions

    Economics: Theory of Demand and Supply

    WellAgate3657 avatar
    WellAgate3657
    Microeconomics: Demand, Supply, and Equilibrium
    10 questions

    Microeconomics: Demand, Supply, and Equilibrium

    BrilliantStarfish avatar
    BrilliantStarfish
    Microeconomics: Demand and Supply
    6 questions

    Microeconomics: Demand and Supply

    CrisperAsteroid avatar
    CrisperAsteroid
    Use Quizgecko on...
    Browser
    Open
    Browser
    Browser