Supply and Demand Review

Front

What is the best description of a normal supply curve?

Back

Its slope goes up when the diagram is read from left to right

Front

Which would an economist consider a substitute for coffee? Options: Tea, Water, Soda, Juice

Back

Tea

Front

Which would an economist consider a complement to coffee?

Back

Donuts

Front

When the price of something increases, the quantity demanded

Back

Decreases

Front

Which is most likely a complement to an iPhone? Options: DVD's, speakers, apps, pencils

Back

apps

Front

Which of these BEST describes the influence of high prices on the behavior of consumers?

Back

They are an incentive for consumers to buy less

Front

New technology can _______

Back

Both lower production costs and increase productivity

Front

The supply of goods matches the demand of goods

Back

equilibrium price

Front

A sum of money granted by the government to a business is known as a ____

Back

subsidy

Front

The supply and demand model shows _____ and ______

Back

price, quantity