Exam 4: Supply and Demand: An Initial Look

Since rent controls have been in effect in New York City,apartments have been more plentiful.

The quantity of Blu-Ray players purchased declined in spite of a decline in price.This implies that the

Scarcity and choice are the basic problems of economics; the supply and demand mechanism is the basic investigative tool of economics.

In an attempt to reduce poaching of elephant tusks for ivory,officials in Kenya burned illegally gathered ivory.Economists tend to point out that

Figure 4-16 -In Figure 4-16,an increase in the number of producers will shift supply from

The price of gasoline has risen and the quantity sold has fallen.This was likely caused by

When used in a professional or technical sense,the law of supply and demand refers to

In a move to free the economy from unnecessary regulation,Congress decides to remove sugar price supports.What would most likely happen to the number of producers of sugar?

"Demand" is a series of quantities demanded,one for each person in the market.

Figure 4-16 -Assume that Figure 4-16 shows the supply of steak.An increase in the price of pork will change the supply from

Figure 4-18 -In Figure 4-18,there would be a surplus of T-shirts if the price were

Which of the following will shift the demand curve for milk?

The price for labor is the wage rate.What happens to the supply of labor if wages increase?

A decrease in price of a certain good most likely will lead to

Figure 4-11 -The Russian government has restricted sugar availability to reduce the supply of illegal liquor (sugar is used to increase alcohol content).Russians also like to sweeten their tea with jam,another sugar product.Which graph in Figure 4-11 depicts the impact of sugar rationing on the Russian tea market?

During the American Revolution,Washington's army nearly starved to death after price controls were enacted to "help" buy food for the army at affordable prices.The Continental Congress later passed a law which

The most basic investigative tool of economics is the

A price above equilibrium always yields a surplus.

If the price of oil,a close substitute for coal,increases then the

The demand by sterile couples for babies to adopt has grown rapidly,while the supply has dwindled because of improved contraception,liberal abortion laws,and an increase in the probability that unwed mothers will keep their children.It violates the law to sell human beings at any age,but for every twenty legal adoptions there seemingly is one baby sale at a price up to $50,000.The generic term economists apply to the market produced by this type of shortage is