Economics Unit 2 Review

There has been a decrease in the price of Coca Cola. How will the price change effect the demand for Dr Pepper?

• The demand for Dr Pepper will decrease

• The demand for Dr Pepper will increase

• The demand for Dr Pepper will not change

• The demand for Coca Cola will increase

in 2000, Firestone Tire Co was in the news for faulty tires installed on factory Ford cars causing multiple wrecks. The (decrease/increase) in demand is a result of ____________.

• increase; price

• Decrease; price

• Increase; a non-price determinant

• Decrease; a non-price determinant

Which of the following is NOT a non-price determinant of demand?

• Consumer preference

• Price of related goods

• Productivity

• Consumer income

An increase in the number of buyers in a market will cause the demand curve to shift ______.

• to the left

• to the right

• 90 degrees

• to 2nd gear

What does the graph represent?

• a change in price

• a decrease in productivity

• an increase in production cost

• an increase in consumer income

The demand schedule for sodas shows that -

• as price increases the demand decreases

• as price increases the demand increases

• as price increase the supply decreases

• sodas are good

According to the graph, what is the equilibrium price?

• $1

• $2

• $3

• $4

With a given amount of resources, a country with a comparative advantage will produce a product with

• the highest demand

• the greatest resources

• the highest quality

• the lowest opportunity cost

What type of market structure is described by the information?

• Pure Competition

• Monopolistic Competition

• Oligopoly

• Monopoly

A market structure with only one seller is called -

• Pure Competition

• Monopolistic Competition

• Oligopoly

• Monopoly