Market Equilibrium NCEA Level 1 Revision

What is the market situation when the price is $1.60 per gallon of gasoline?

• Surplus

• Shortage

• Equilibrium

• Law of demand

What is the market situation when the price is $1.40 per gallon of gasoline?

• Surplus

• Shortage

• Equilibrium

• Law of demand

What is the market situation when the price is $1.00 per gallon of gasoline?

• Surplus

• Shortage

• Equilibrium

• Law of demand

What do you call the market situation where supply is equal to demand?

• Surplus

• Shortage

• Equilibrium

• Law of demand

What do you call the market situation where quantity supplied is greater than quantity demanded?

• Surplus

• Shortage

• Equilibrium

• Law of supply

What do you call the market situation where the quantity demanded is greater than the quantity supplied?

• Surplus

• Shortage

• Equilibrium

• Law of demand

If the price stays unchanged at $1.40 but the quantity demanded increases to 800 million gallons. What market situation will this create?

• Surplus

• Shortage

• Equilibrium

• No change

If the price stays unchanged at $1.40 but the quantity demanded decreases to 500 million gallons. What market situation will this create?

• Surplus

• Shortage

• Equilibrium

• No change

If the Government sets a minimum price of $2.00 what market situation will this create?

• Surplus

• Shortage

• Equilibrium

• No change

If the Government sets a maximum price of $1.20 what market situation will this create?

• Surplus

• Shortage

• Equilibrium

• No change