Question : 81) By drawing a demand curve with price the vertical : 1245012

 

 

81) By drawing a demand curve with price on the vertical axis and quantity on the horizontal axis, economists assume that the most important determinant of the demand for a good is

A) consumer income.

B) consumer tastes and preferences.

C) the price of the good.

D) the quality of the good.

82) The law of demand implies, holding everything else constant, that as the price of yogurt

A) increases, the demand for yogurt will increase.

B) increases, the quantity of yogurt demanded will decrease.

C) decreases, the quantity of yogurt demanded will decrease.

D) decreases, the demand for yogurt will increase.

 

83) The phrase “demand has increased” means that

A) a demand curve has shifted to the left.

B) there has been an upward movement along a demand curve.

C) there has been a downward movement along a demand curve.

D) a demand curve has shifted to the right.

 

84) Holding everything else constant, a decrease in the price of GPS systems will result in

A) an decrease in the quantity of GPS systems demanded.

B) an increase in the demand for GPS systems.

C) a decrease in the supply of GPS systems.

D) an increase in the quantity of GPS systems demanded.

 

85) Holding everything else constant, an increase in the price of raisins will result in

A) an decrease in the quantity of raisins demanded.

B) an increase in the demand for raisins.

C) a decrease in the supply of raisins.

D) an increase in the quantity of raisins demanded.

 

86) A change in which variable will change the market demand for a product?

A) the price of the product

B) expected future prices

C) the number of firms in the market

D) the quantity supplied of the product

 

Table 3-3

Kona Coffee

Price per lb.

(dollars)

Luke’s

Quantity Demanded (lb.)

Ravi’s

Quantity Demanded (lb.)

Rest of Market

Quantity

Demanded (lb.)

Market

Quantity Demanded (lb.)

$10

   3

  0

  23

 

    8

   9

  3

  32

 

    6

14

  7

  68

 

    5

18

12

  85

 

    4

22

18

110

 

 

87) Refer to Table 3-3. The table above shows the demand schedules for Kona coffee of two individuals (Luke and Ravi) and the rest of the market. At a price of $6, the quantity demanded in the market would be

A) 36 lb.

B) 68 lb.

C) 89 lb.

D) 123 lb.

 

88) Refer to Table 3-3. The table above shows the demand schedules for Kona coffee of two individuals (Luke and Ravi) and the rest of the market. At a price of $4, the quantity demanded in the market would be

A) 40 lb.

B) 70 lb.

C) 110 lb.

D) 150 lb.

 

89) Refer to Table 3-3. The table above shows the demand schedules for Kona coffee of two individuals (Luke and Ravi) and the rest of the market. If the price of Kona coffee rises from $4 to $5, the market quantity demanded would

A) decrease by 35 lb.

B) increase by 115 lb.

C) increase by 35 lb.

D) decrease by 115 lb.

 

90) Refer to Table 3-3. The table above shows the demand schedules for Kona coffee of two individuals (Luke and Ravi) and the rest of the market. If the price of Kona coffee falls from $6 to $4, the market quantity demanded would

A) decrease by 89 lb.

B) increase by 26 lb.

C) increase by 61 lb.

D) increase by 110 lb.