Exam 4: The Market Forces of Supply and Demand

You love. You hear on the news that 50% of the world's banana crop has been wiped out because of a virus, which will cause the price to double by the end of the year. What happens as a result?

Once the demand curve for a product or service is drawn, what is possible?

What will result from an increase in resource costs to firms in a market?

A shortage will occur at any price below equilibrium price and a surplus will occur at any price above equilibrium price.

What impact does a person's expectations about the future have?

Nancy likes pasta today more than she did yesterday. What does this reveal about Nancy's circumstances?

Which chain of events is listed in the correct order?

Figure 4-6 -When we move up or down a given demand curve, what is held constant?

Market demand is given as Qd = 70 - 2P. Market supply is given as Qs = P + 10. What would result if the market price were $30?

What is the downward-sloping line that relates prices and quantity demanded?

Which best describes the relationship shown by a demand table?

What could be one result of a cold snap in Florida?

Which of the following is NOT a characteristic of a perfectly competitive market?

What will a country with an aging population generally experience?

Market demand is given as QD = 220 - 4P. Market supply is given as QS = 2P + 40. If price increases from $12 to $14, what is the price elasticity of demand?

If 50-inch flat screen TVs became cheaper and buyers expected Netflix subscription prices to fall next year, what could we safely conclude would happen to the equilibrium price of a new Netflix subscription?

What happens when the price of a good or service changes?

If Francis receives an increase in his pay, what would we expect?

Market demand is given as QD = 300 - 6P. Market supply is given as QS = 4P. If price increases from $25 to $30, what is the price elasticity of demand?

What will happen to the equilibrium price and quantity of landline phone services if new technologies lower the costs of providing such services and, at the same time, alternatives such as the Internet or smart phones have become more popular?