Exam 3: Demand and Supply

In 2014, the price of peanuts was rising, which led peanut butter sellers and peanut butter buyers to expect the price of peanut butter would rise in the future. In the current market for peanut butter, the price rises and the quantity increases. This set of results means that

Each point on a supply curve represents

What is the law of demand?

If the U.S. Surgeon General announced that increased grapefruit juice consumption could help prevent heart attacks, what would happen to the equilibrium price and quantity of grapefruit juice?

An unusually warm winter shifts the

After 2009, the price of tablets fell each year and manufacturers of tablets produced and sold more tablets each year. This result is because the

-The table shows the demand and supply schedules for jeans.

An increase in the demand for computers and a decrease in the number of sellers of computers will definitely

The law of demand states that the quantity of a good demanded varies

If the demand curve for bottled water shifts leftward and the supply curve of bottled water shifts leftward, the equilibrium

After the sugar substitute saccharin was found to cause cancer in laboratory mice, its price dropped dramatically. This change in the price was because

If the demand curve for bottled water shifts rightward and the supply curve of bottled water shifts rightward, the equilibrium

The number of firms producing computer memory chips decreases. As a result, the price of a memory chip ________ and the quantity of memory chips ________.

-The above figures show the market for gasoline. Which figure(s) shows the effect of a freezing cold winter which drives up the price of home heating oil (a substitute in production for gasoline because each is made from crude oil)?

Which of the following is TRUE?

When people's incomes increase, the demand for a good increases. The good is called

-In the above figure, a change in quantity supplied with unchanged supply is represented by a movement from

Producers of DVDs are able to lower the wage rate that they pay to their workers. You predict that the

Which of the following statements is TRUE?

The equilibrium price will rise and the equilibrium quantity might increase, decrease, or stay the same when the