Economics

Which scenario would increase the supply of hula hoops and therefore decrease their price?

• Can't turn off the assembly line
• Can't turn on the assembly line
• Kids are buying jump ropes instead of hula hoops
• Kids are buying hula hoops instead of jump ropes

Which situation would increase the demand for sweatshirts and therefore increase the price?

• June is surprisingly cold
• June is surprisingly warm
• Worldwide cotton shortage
• Wal-Mart ordered too many sweatshirts

Which situation would result in a decrease in both the demand for and the price of iPads?

• Sony releases a cheaper version of it called the sPad
• there is a fire at an Apple factory
• Apple offers a 50% off sale on iPads
• Apple builds a new factory for making only iPads

Which situation will decrease the supply of beach chairs therefore increasing the price?

• Shortage of the metal used in their frames
• Surplus of the fabric used in the seat
• Beaches close due to shark attacks
• Summer months are warmer than usual

This is the system that the majority of the world uses, including the USA.

• market
• command
• traditional

Which are 2 things that households provide for businesses in the economic cycle?

• land and labor
• goods and services
• taxes and military protection

Which of these is NOT an institution that is included in the economic cycle?

• businesses
• households
• government
• foreign countries

If the ________ for an item is low, the price will decrease. 

• demand
• supply
• consumers
• incentives

Under communism, workers are required to make a certain amount of goods, which is known as a...

• quota
• incentive
• product 
• consumer

________ are the things that people make to be sold to the public.

• consumer goods
• producers
• natural resources
• services