Supply Questions

A change in which of the following will cause a change in the supply of personal computers (PC’s) in the short run?

• Technology

• Demand for PC’s

• Price of disks, which are a complement to PC’s

• Price of PC’s

• Consumers’ incomes

Which of the following will shift the supply curve for apples to the right?

• An increase in consumers’ income

• An increase in the price of apples

• An increase in the wages of apple pickers

• A decrease in the rental price for apple harvesting equipment

• A decrease in the demand for oranges, a substitute in consumption

In the short run, a decrease in production costs of a product will shift

• both the demand curve and the supply curve to the right

• the demand curve to the left and the supply curve to the right

• only the supply curve to the right

• only the supply curve to the left

• only the demand curve to the left

Which of the following would shift the short-run supply curve for strawberries?

• A decrease in the consumption of strawberries

• An increase in the price of strawberries

• A strike by all farmworkers

• An increase in household incomes

• An announcement of a study that shows the health benefits of eating strawberries

If the government imposes a tax on the production of cars, which of the following will occur in the market for cars?

• There will be a movement to the right along the supply curve.

• There will be a movement to the right along the demand curve.

• The supply curve will shift to the right.

• The supply curve will shift to the left.

• The demand curve will shift to the right.

A leftward shift in the supply curve of watches could be caused by

• an increase in the demand for watches

• a decrease in the price of watches

• an increase in the wages of workers in the watch industry

• a decrease in the price of materials used in the production of watches

Which of the following is likely to increase the supply of watches?

• an increase in the price of watches

• an increase in wages paid to workers who produce watches

• an improvement in the technology associated with watchmaking

• a decrease in the price of parts used in the production of watches

• an increase in population

A decrease in the price of a complement good will likely:

• Increase the demand for the original good.

• Decrease the demand for the original good.

• Have no effect on the demand for the original good.

• Increase the supply of the original good.

What factor would cause a shift in the demand curve to the right?

• A decrease in the price of the good

• An increase in consumer income, assuming the good is a normal good

• An improvement in the technology used to produce the good

• A decrease in the number of suppliers