Question : 31) Suppose over the next several years the productivity of : 1241459

 

31) Suppose over the next several years the productivity of firms producing electric cars improves dramatically. The advance in productivity leads to

A) a decrease in the supply of electric cars so that the supply curve shifts leftward.

B) a decrease in the supply of electric cars so that the supply curve shifts rightward.

C) an increase in the supply of electric cars so that the supply curve shifts leftward.

D) an increase in the supply electric cars so that the supply curve shifts rightward.

E) no change in the supply of electric cars, only a change in the quantity supplied of electric cars.

32) Which of the following increases the supply of a good and shifts its supply curve rightward?

A) a smaller number of producers

B) a higher wage paid to workers in the industry

C) a technological advance in how the good is produced

D) an increase in the cost of the resources used to produce the good

E) an increase in the price of the good

 

33) Which of the following increases the supply of a good?

A) The price of a complement in production decreases.

B) Producers expect higher prices for the good in the future.

C) Productivity improves.

D) Prices of inputs used to produce the good rise.

E) The number of producers decreases.

 

34) Advances in productivity increase supply because they might

A) increase the price expected in the future.

B) decrease the number of goods available.

C) decrease the cost of production.

D) raise the prices of resources used to produce the good.

E) increase the number of firms producing the good.

35) The number of corn producers increases, so the supply of corn ________ and the supply curve of corn ________.

A) increases; shifts rightward

B) increases; shifts leftward

C) decrease; shifts rightward

D) decreases; shifts leftward

E) increases; does not shift

 

36) Which of the following shifts the supply curve for oranges?

A) disastrous weather that destroys about half of this year’s orange crop

B) a newly discovered increase in the nutritional value of oranges

C) an increase in the price of bananas, a substitute in consumption for oranges

D) an increase in income for all orange consumers if oranges are a normal good

E) an increase in the number of orange consumers

 

37) Because of the high cost of fuel, railroads such as Union Pacific Corp and CSX Corp have increased the price they charge to haul freight. This change means that

A) the demand curve for hauling freight has shifted leftward.

B) the supply curve for hauling freight has shifted leftward.

C) the demand curve for hauling freight has shifted rightward.

D) the supply curve for hauling freight has shifted rightward.

E) neither the supply curve nor the demand curve for hauling freight has shifted; the only change is that the price is higher.

38) Which of the following shifts the supply curve of popcorn leftward?

A) a decrease in the price of popcorn

B) an increase in the price of popcorn

C) a technological development in the production of popcorn

D) a decrease in the number of popcorn suppliers

E) a decrease in the cost of producing popcorn

 

39) In the above figure, the movement from point a to point b reflects

A) an increase in the price of pizza.

B) an increase in the supply of pizza.

C) an increase in the number of producers of pizza.

D) a decrease in the cost of the tomato sauce used to produce pizza.

E) a decrease in income if pizza is a normal good.

40) In the above figure, the shift in the supply curve from S to S1 reflects

A) an increase in the quantity of pizza supplied.

B) a decrease in the quantity of pizza supplied.

C) an increase in the supply of pizza.

D) a decrease in the supply of pizza.

E) None of the above answers is correct.

 

41) In the above figure, the shift in the supply curve from S to S2 reflects

A) an increase in the quantity of pizza supplied.

B) a decrease in the quantity of pizza supplied.

C) an increase in the supply of pizza.

D) a decrease in the supply of pizza.

E) a decrease in the supply of pizza and a simultaneous decrease in the quantity of pizza supplied.

 

42) In the above figure, the shift in the supply curve from S to S2 might reflect

A) a decrease in the cost of the tomato sauce used to produce pizza.

B) a decrease in the number of pizza producers.

C) an increase in the price of a pizza.

D) an increase in income if pizza is a normal good.

E) an increase in the price of a good that is a substitute for consumers.

43) In the above figure, an increase in cost of the cheese used to produce pizza

A) shifts the supply curve from S to S1.

B) shifts the supply curve from S to S2.

C) results in a movement from point a to point b.

D) results in a movement from point b to point a.

E) has no effect.

 

44) In the above figure, an increase in productivity

A) shifts the supply curve from S to S1.

B) shifts the supply curve from S to S2.

C) results in a movement from point a to point b.

D) results in a movement from point b to point a.

E) has no effect.