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LAW OF DEMAND PQ2

Quiz by Harold N. Noga

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25 questions
Show answers
  • Q1
    Which of the following will result in a DECREASE in demand (i.e., a leftward shift of the demand curve)?
    None of the above.
    An increase in income, if the good is normal.
    A decrease in the price of a complement to the good
    An increase in the price of a substitute for the good.
    120s
  • Q2
    When we say demand increases, we mean that there is a
    leftward shift of the demand curve.
    movement to the right along a demand curve.
    movement to the left along a demand curve.
    rightward shift of the demand curve.
    45s
  • Q3
    Which of the following would NOT shift the demand curve for turkey?
    a change in tastes for turkey
    a decrease in the price of ham
    a change in the price of a turkey
    an increase in income
    45s
  • Q4
    A decrease in quantity demanded caused by an increase in price is represented by a
    leftward shift of the demand curve.
    movement down and to the right along the demand curve.
    movement up and to the left along the demand curve.
    rightward shift of the demand curve.
    60s
  • Q5
    An inferior good is a good for which demand
    increases when income increases.
    increases when population increases.
    decreases when income increases.
    decreases when population increases.
    60s
  • Q6
    If a good is an inferior good, then purchases of that good will decrease when
    population increases.
    income increases.
    the demand for it increases.
    the price of a substitute rises.
    45s
  • Q7
    By definition, an inferior good is a
    good for which QUANTITY DEMANDED decreases when income increases.
    good for which DEMAND decreases when its price rises.
    good for which DEMAND decreases when income increases.
    want that is not expressed by DEMAND.
    60s
  • Q8
    People come to expect that the price of a gallon of gasoline will rise next week. As a result,
    next week's supply of gasoline decreases.
    the price of a gallon of gasoline falls today.
    today's demand for gasoline increases.
    today's supply of gasoline increases.
    60s
  • Q9
    Which of the following pairs of goods are most likely substitutes?
    peanut butter and gasoline
    lettuce and salad dressing
    compact discs and compact disc players
    cola and lemon lime soda
    60s
  • Q10
    People buy more of good 1 when the price of good 2 rises. These goods are
    normal goods.
    substitutes.
    inferior goods.
    complements.
    60s
  • Q11
    A drop in the price of a beef shifts the demand curve for pork tapes leftward. From that you know beef and pork are
    complements
    inferior goods.
    substitutes.
    normal goods.
    60s
  • Q12
    The law of demand implies that demand curves
    shift leftward whenever the price rises.
    slope down.
    shift rightward whenever the price rises.
    slope up.
    60s
  • Q13
    The law of demand implies that if nothing else changes, there is
    a negative relationship between the price of a good and the quantity demanded.
    a linear relationship between price of a good and the quantity demanded.
    a positive relationship between the price of a good and the quantity demanded.
    an exponential relationship between price of a good and the quantity demanded.
    60s
  • Q14
    The law of demand states that the quantity of a good demanded varies
    directly with income.
    inversely with the price of substitute goods.
    inversely with its price.
    directly with population.
    60s
  • Q15
    The law of demand states that, other things remaining the same, the higher the price of a good, the
    smaller is the demand for the good.
    larger is the quantity of the good demanded.
    larger is the demand for the good.
    smaller is the quantity of the good demanded.
    120s

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