BMU_Micro_lecture_3

What does the term "demand" refer to in economics?

• The amount of a good producers want to sell.

• The amount of a good consumers are willing and able to buy at various prices.

• The price level of a good in the market.

• The total revenue generated by selling a good.

What is the law of demand?

• As price increases, quantity demanded increases.

• As price increases, quantity demanded decreases.

• As price decreases, quantity demanded remains constant.

• As quantity increases, price remains the same.

What is a demand curve?

• A table showing the price and quantity supplied.

• A graphical representation of the relationship between price and quantity demanded.

• A list of prices and total revenue.

• A chart indicating government policies.

What does the term "quantity demanded" mean?

• The entire relationship between price and demand.

• The number of units consumers want to buy at a specific price.

• The total production of a good.

• The amount sellers are willing to supply.

Which of the following will shift the demand curve for a good?

• A change in the price of the good itself.

• A change in income.

• A change in the quantity supplied.

• A change in production costs.

What is a supply curve?

• A table showing the price and quantity demanded.

• A graphical representation of the relationship between price and quantity supplied.

• A list of prices and total costs.

• A chart of income levels.

What is the law of supply?

• As price increases, quantity supplied increases.

• As price increases, quantity supplied decreases.

• As price decreases, quantity supplied increases.

• As quantity supplied decreases, demand decreases.

When is a market said to be in equilibrium?

• When quantity demanded is equal to quantity supplied.

• When demand is higher than supply.

• When supply is higher than demand.

• When prices are at their highest point.

What happens when the price is above the equilibrium price?

• There is excess demand.

• There is excess supply.

• There is no effect on quantity supplied.

• The demand curve shifts left.

Which of the following would cause a shift in the supply curve?

• A change in production technology.

• A change in the price of the good itself.

• A change in consumer preferences.

• A change in the quantity demanded.