Exam 3: Demand and Supply

-The above table shows the demand schedule and supply schedule for chocolate chip cookies. An increase in income results in an increase in the demand for chocolate cookies by an amount of 3 pounds at every price. What are the new equilibrium quantity and equilibrium price?

The quantity supplied of a good or service is the amount that

If consumers' incomes increase and the demand for bus rides decreases

-Suppose the market for Blu-rays has the demand and supply schedules shown in the table above. Suppose a technological advance increases the quantity of disks supplied at each price by 25 million. What is the new equilibrium price and the new equilibrium quantity of Blu-rays?

A normal good is a good for which demand

The "law of demand" states that, other thing remaining the same, the higher

-In the figure above, which movement could be the result of an increase in the wages paid to oil workers?

Suppose the equilibrium price for soft drinks is $1.00. If the current price in the soft drink market is $1.25 each

The "income effect" in the market for aspirin means that

-The figure above shows the demand for fruit snacks. Which movement reflects how consumers would react to an increase in the price of a fruit snack that is expected to occur in the future?

-The above table gives the demand and supply schedules for cat food. What is the equilibrium price and quantity?

The law of demand concludes that a rise in the price of a golf ball ________ the quantity demanded and ________.

-The figure above shows supply curves for soft drinks. Suppose the economy is at point a. A movement to point c could be the result of

-The above figures show the market for hamburger meat. Which figure shows the effect of a newly invented machine which grinds beef at twice the speed previously possible?

In 2006, the base price of a Hummer SUV was about $30,000. By 2008 as gasoline prices increased,

If the price of a movie download falls, the rental rate of DVDs ________ and the equilibrium quantity of DVDs rented ________.

When a market is in equilibrium

In 2015, the price of peanuts was rising, which lead peanut butter buyers to expect the price of peanut butter would rise in the future. Consequently, in the current market for peanut butter there was ________ which resulted in ________ in the price of peanut butter and ________ in the quantity of peanut butter.

An increase in technology for producing personal computers leads to

The opportunity cost of good A in terms of good B is equal to the