ECO (4.2B) Supply Pt 2 Quiz

1. Which of the following CANNOT cause a change in supply?

• Law of Diminishing Returns
• productivity
• number of sellers
• government regulations

2. Which of the following CANNOT cause a change in supply?

• subsidies
• taxes
• cost of resources
• advertising

3. As the cost of resources goes up, what happens to supply?

• it goes up
• it goes down
• it is not affected

4. As the number of sellers decreases, what happens to supply?

• it increases
• it decreases
• it is not affected

5. Another word for a factor of production is a what?

• return
• reconciliation
• resource
• rebate

6. When management trains or motivates the workforce, what effect does that have on productivity?

• it goes up
• it goes down
• it has no effect
• it goes up only during during warm weather

7. As government regulations increase, supply ____.

• increases
• decreases
• remains unchanged

8. A government payment to encourage or protect a certain economic activity is known as a what?

• resource
• diminishing return
• capital good
• subsidy

9. While raking leaves you notice that you are not as productive in your third hour of work as you were in your first hour. This is an example of:

• the Law of Supply
• the Law of Diminishing Returns
• economic growth
• the Law of Demand

10. New technology has what effect on supply?

• it causes supply to increase
• it causes supply to decrease
• it has no effect on supply