Demand Notes Quiz

Which of the following is NOT a characteristic of the Market System?

• Private property

• Limited government

• Central planning

• Freedom of choice

What does "Competition" in the Market System refer to?

• The struggle among producers for consumer money

• The cooperation between different market sectors

• The regulation of markets by the government

• The distribution of wealth among citizens

Which of the following is NOT a characteristic of the market system?

• Private property

• Limited government

• System of markets and prices

• Centralized economic planning

What is meant by "freedom of choice" in a market system?

• Consumers have no choice but to buy what is available.

• Producers can only sell what the government allows.

• Consumers and producers have the liberty to make economic decisions.

• Choices are made by the government for the benefit of the economy.

How is "competition" an essential part of the market system?

• It eliminates the need for government regulation.

• It ensures that only one producer can dominate the market.

• It encourages producers to improve their products and services.

• It guarantees equal profits for all market participants.

What does demand represent in the market?

• The supplier (sellers) side of the market.

• The consumer (buyers) side of the market.

• The regulatory bodies controlling the market.

• The external factors influencing the market.

What is the definition of Demand according to the learning material?

• The amount of a good or service people are willing and able to buy at a certain price at a certain time.

• The amount of a good or service people are willing and able to sell at a certain price over a period of time.

• The amount of a good or service people are willing and able to buy at a certain price over a period of time.

• The amount of a good or service available at a certain price over a period of time.

What does a demand curve represent?

• The relationship between the price of pizza slices and the quantity demanded

• The cost of production for pizza slices

• The profit made from selling pizza slices

• The number of pizza slices available in the market

As the price of pizza slices increases from $0.50 to $2.50, what happens to the quantity demanded?

• It increases

• It remains constant

• It decreases

• It is not related to the price

Based on the demand curve graph, which of the following statements is true?

• The quantity demanded increases as the price increases

• The quantity demanded decreases as the price increases

• The price remains constant regardless of the quantity demanded

• The quantity demanded remains constant regardless of the price