Supply and Demand

What was the author's purpose for writing the first paragraph of the book?

• to provide a story people can relate to in order to explain how prices change

• to prove that people are willing to pay a lot of money for movie merchandise

• to show how badly people want to buy merchandise from the most popular movies

• to point out that there are people who have important job of setting the price for certain things

Tags

CCSS.RI.6.6

CCSS.RI.6.9

CCSS.RL.4.6

CCSS.RL.5.6

CCSS.RL.6.6

According to the text, a seller sets the price of something such as T-shirt by taking many things into account, including _______.

• when people shop for the T-shirt

• why someone made the T-shirt

• what stores sell the T-shirt

• how people buy the T-shirt

Tags

CCSS.RI.5.2

CCSS.RI.6.2

CCSS.RL.5.2

CCSS.RI.4.2

CCSS.RL.4.2

What is the job of the economists?

• They set the prices of the goods and services.

• They make sure that there is market equilibrium.

• They analyze the changes in the cost of goods and services.

• They come up with ways to advertise goods and services to consumers.

How does price affect supply and demand?

• When a price is fixed, supply and demand both change.

• When a price changes, supply and demand both change.

• When a price is fixed, supply and demand both stay fixed.

• When a price changes, supply and demand both stay fixed.

Which of the following is an example of surplus?

• when a buyer pays less for an item

• when a buyer pays more for an item

• when a company has too little of an item

• when a company has too much of an item

Which of the following situations would most likely cause an increase in the price of chicken sandwiches

• The seller has the same supply of chicken sandwiches, but the demand increases.

• The seller has the same supply of chicken sandwiches, but the demand decreases.

• The seller has an increase in supply of chicken sandwiches, but the demand decreases.

• The seller has an increase in supply of chicken sandwiches, but the demand stays the same.

Which of the following is true about market equilibrium?

• It benefits buyers but not sellers.

• It benefits the sellers, but not the buyers.

• It benefits both buyers and sellers.

• It benefits neither buyers nor sellers.

The scarcity of an item may cause _____.

• businesses to no longer restock the item

• the price of the item to rise dramatically

• the demand for the item to decrease

• people to lose interest in the item

Tags

CCSS.RI.3.10

CCSS.RI.4.10

CCSS.RI.5.10

CCSS.RI.6.4

CCSS.RI.7.4

Which of the following details from the text describe how buyers affect supply and demand?

• "Both buyers and sellers benefit from the market in which supply and demand are more evenly balanced."

• "A pair of plain sneakers is typically much cheaper than a pair endorsed by a celebrity athlete."

• "The location, physical, or virtual, where a buyer meets a seller to conduct business is called a market."

• "Everyone has different preferences and values, which can impact their buying habits."

Tags

CCSS.RI.5.2

CCSS.RI.6.2

CCSS.RL.5.2

CCSS.RL.5.1

CCSS.RL.6.1

The author's purpose for writing the last section of the text is to ______.

• explain how supply and demand are always at odds with one another

• emphasize that all people play a part in the economic laws of supply and demand

• describe the factors that cause the prices of goods and services to fluctuate daily

• suggest that all people should question the increase or decrease in the price of an item

Tags

CCSS.RI.6.6

CCSS.RI.6.9

CCSS.RL.4.6

CCSS.RL.5.6

CCSS.RL.6.6