Supply and Demand and Graph Resources

Exam 2
If the price of gasoline increases, what will be the impact in the market for public transportation?
Answer
| A. | The demand curve for public transportation shifts to the right. | | B. | The quantity of public transportation demanded increases. | | C. | The demand curve for public transportation shifts to the left. | | D. | The quantity of public transportation demanded increases |
A demand curve shows the relationship between
Answer
| A. | the price of a product and the quantity of the product demanded | | B. | the amount of a product sellers are willing to sell at a particular price and the amount consumers are willing to buy at that price | | C. | the quantity that consumers are willing and able to buy and the quantity that sellers are willing and able to offer | | D. | the price of a product and the demand for the productRefer to Figure 4-4 ( Course Documents - Graph Resources for Exams) What area represents producer surplus at P2 ?Answer | A. | A + B + D | | B. | B + D | | C. | B + D + G | | D. | B + C + D + E |
Which of the following would cause an increase in the equilibrium price and decrease in the equilibrium quantity of watermelon?Answer | A. | a decrease in demand and an increase in supply | | B. | a decrease in supply | | C. | an increase in demand and an increase in supply greater than the increase in demand | | D. | an increase in demand and an increase in supply |
Refer to Figure 3-2 - (Course Documents - Graph Resources for exams) A technological advancement would be represented by a movement fromAnswer | A. | A to B | | B. | B to A | | C. | S1 to S2 | | D. | S2 to S1 |
If the price of pork rinds falls, the substitution effect due to the price change will causeAnswer | A. | an increase in the demand for pork rinds | | B. | an increase in the demand for corn chips, a substitute for pork rinds | | C. | an increase in the quantity of pork rinds demanded | | D. | a