Supply and Demand in Microeconomics Lesson Plans Chapter Exam

Exam Instructions:

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

Page 1

Question 1 1. What is the price at which demand and supply are equal?

Question 2 2. A movement along the supply curve is caused by:

Question 3 3. Over the course of a summer, New Hampshire experiences a shortage of potatoes. How will the supply and demand graph for potatoes be affected in this state?

Question 4 4. How is a supply and demand graph affected by a supply surplus?

Question 5 5. If the price of printers increased by 10% and the quantity demanded of printer paper fell by 2%, what is the cross elasticity of demand equal and what does it tell us?

Page 2

Question 6 6. According to income elasticity of demand, which of the following is a superior good?

Question 7 7. All of the following can cause demand to shift, EXCEPT:

Question 8 8. How would we describe a supply surplus in terms of supply and demand?

Question 9 9. Which of the following would likely cause an increase in demand for a good?

Question 10 10. When there is excess demand or a shortage of goods and services, this puts _____ pressure on prices.

Page 3

Question 11 11. A _____ demand curve is a horizontal sum of all the individual demand curves put together.

Question 12 12. Why is a private jet considered a superior good according to income elasticity of demand?

Question 13 13. When demand for a product is greater than supply, a _____ exists and there is _____ pressure on prices.

Question 14 14. Why might a company have a perfectly inelastic supply?

Question 15 15. _____ is the curve that shows how much of a good will be demanded by consumers at various price points.

Page 4

Question 16 16. Why do diamonds cost so much?

Question 17 17. A supply and demand chart or schedule is the _____

Question 18 18. Cross price elasticity of demand is equal to the percentage change in quantity demanded for Product A, divided by:

Question 19 19. _____ refers to a specific quantity offered for sale at a specific price.

Question 20 20. If the cross price elasticity between apples and oranges is 2, which is correct?

Page 5

Question 21 21. If the supply curve shifts to the left, what most likely happened?

Question 22 22. All of the following are true about the statement - As the price of eggs increases, fewer eggs will be sold, all other things constant. - except what?

Question 23 23. A binding price floor is _____ the market equilibrium point.

Question 24 24. The supply curve is _____ sloping, which means that _____ of a good will be supplied at higher prices.

Question 25 25. What is the term for economic output lost due to a price floor or ceiling?

Page 6

Question 26 26. A binding price ceiling line is _____ the market equilibrium point.

Question 27 27. How does advertising impact the supply and demand curve?

Question 28 28. If a new clothing brand becomes more popular because some recent movie stars endorsed the clothing line, how will it affect the market equilibrium for the clothing brand?

Question 29 29. Elasticity of demand is said to be elastic when elasticity is:

Question 30 30. Ceteris paribus is an economic term meaning what?

Supply and Demand in Microeconomics Lesson Plans Chapter Exam Instructions

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

Principles of Microeconomics Syllabus Resource & Lesson Plans  /  Business Courses
Support