C11 Lesson 2 Exam SCORE 95 PERCENT.docx

 

Question 1    

5 / 5 points    

If a competitive market operates perfectly, it relies on __________.    

Question options:    

the number of people buying goods    

the laws of supply and demand    

how many products can be produced for sale    

how much people are willing to pay for the products    

Question 2    

5 / 5 points    

Refer to Figure 4.6, which shows David's and Celeste's individual supply curves for flower arrangements per week. Assuming David and Celeste are the only producers in the market, what is the market quantity supplied at a price of $30?    

Question options:    

200    

250    

300    

350    

Question 3    

5 / 5 points    

The big tradeoff is the tradeoff between __________.    

Question options:    

quantity demanded and quantity supplied    

price and quantity demanded    

efficiency and equity    

total surplus and deadweight loss    

Question 4    

5 / 5 points    

A change in the quantity demanded of a product is the result of a change in __________.    

Question options:    

the price of the product    

the price of related goods    

consumer income    

the cost of producing the product    

Question 5    

5 / 5 points    

What happens if the price of a product is below the equilibrium price?    

Question options:    

The buyers will stop purchasing a "cheap" product.    

The producer will lower the price to sell more product.    

There will be an excess demand for the product.    

There will be a surplus of the product.    

Question 6    

5 / 5 points    

If the equilibrium price of a good increases and the equilibrium quantity of the good decreases, we can conclude that __________.    

Question options:    

demand increased    

demand decreased    

supply increased    

supply decreased    

Question 7    

5 / 5 points    

A supply curve is defined as the relationship between __________.    

Question options:    

the price of a good and the quantity that consumers are willing to buy    

the price of a good and the quantity that producers are willing to sell    

the income of consumers and the quantity of a product that consumers are willing to buy    

the income of consumers and the quantity of a product that producers are willing to sell    

Question 8    

5 / 5 points    

Refer to Figure 4.6, which shows David's and Celeste's individual supply curves for flower arrangements per week. Assuming David and Celeste are the only producers in the market, if the market quantity supplied is 50, the price must be __________.    

Question options:    

$0    

$10    

between $10 and $20    

$30    

Question 9    

5 / 5 points    

The market demand curve __________.    

Question options:    

shows the relationship between the price of a good and the quantity that all consumers together are willing to buy    

is drawn assuming that variables such as income and tastes are variable    

is drawn assuming that the number of consumers is variable    

is drawn assuming that the selling price is fixed    

Question 10    

5 / 5 points    

When consumers are willing to buy more than producers are willing to sell, __________.    

Question options:    

there is excess supply of the product in the market    

there is excess demand for the product in the market    

the market is in equilibrium    

the demand curve will shift until the quantity supplied equals the quantity demanded    

Question 11    

5 / 5 points    

When there is a change in the quantity demanded it means that __________.    

Question options:    

the hours the customer can buy products each day have increased    

the number of products in inventory have increased    

the quantity a consumer is willing to buy changes when the price changes    

the selling price of the products has not changed    

Question 12    

5 / 5 points    

Quantity of Frozen Latte-On-A-Stick Supplied    

Price    

Flo's Supply    

Rita's Supply    

1    

0    

0    

2    

0    

3    

3    

4    

6    

4    

9    

9    

5    

15    

12    

Table 4.1    

Refer to Table 4.1, which shows Flo's and Rita's individual supply schedules for frozen latte-on-a-stick. Assuming Flo and Rita are the only suppliers in the market, what is the market quantity supplied at a price of $2?    

Question options:    

0    

2    

3    

5    

Question 13    

5 / 5 points    

Refer to Figure 4.1, which shows Molly's and Ryan's individual demand curves for compact discs per month. Assuming Molly and Ryan are the only consumers in the market, what is the market quantity demanded at a price of $3?    

Question options:    

6    

9    

15    

20    

Question 14    

5 / 5 points    

When the price of apples goes up, __________.    

Question options:    

the demand for apples will decrease, ceteris paribus    

the demand for apples will increase, ceteris paribus    

the quantity of apples demanded will decrease, ceteris paribus    

the quantity of apples demanded will increase, ceteris paribus    

Question 15    

5 / 5 points    

A demand curve is defined as the relationship between __________.    

Question options:    

the price of a good and the quantity of that good that consumers are willing to buy    

the price of a good and the quantity of that good that producers are willing to sell    

the income of consumers and the quantity of a good that consumers are willing to buy    

the income of consumers and the quantity of a good that producers are willing to sell    

Question 16    

5 / 5 points    

Figure 4.2 illustrates the supply and demand for T-shirts. If the actual price of T-shirts is $7, there is an __________.    

Question options:    

excess demand of 8 T-shirts    

excess supply of 8 T-shirts    

excess demand of 10 T-shirts    

excess supply of 10 T-shirts    

Question 17    

5 / 5 points    

Suppose that the quantity of cars supplied exceeds the quantity of cars demanded. We would expect that __________.    

Question options:    

the price of cars will increase    

the price of cars will decrease    

the supply will increase (supply will shift to the right. to meet the demand    

the demand will decrease (demand will shift to the left. to meet the supply    

Question 18    

5 / 5 points    

If there is an advancement in the technology used to produce a product, what is the likely effect it may have on the supply?    

Question options:    

The company would not change its manufacturing.    

More people would be needed to produce the product.    

It would decrease the supply.    

It would increase the supply.    

Question 19    

0 / 5 points    

When demand increases and the demand curve shifts to the right, equilibrium price __________ and equilibrium quantity __________.    

Question options:    

increases; increases  (Incorrect)    

increases; decreases    

decreases; increases    

decreases; decreases    

Question 20    

5 / 5 points    

A change in quantity supplied of a product is the result of a change in __________.    

Question options:    

consumer income    

the state of production technology    

the cost of producing the product    

the price of the product