ECON 1002 Final Exam – MGMT 3503 Microeconomics
Exam – Week 3 (92 out of 100 points )
- A demand curve:
- The income effect that results from a price change is given by:
- The table below shows the quantities demanded and quantities supplied for a good at various prices. The equilibrium price and quantity for the good above respectively equal:
- When price is below the market equilibrium price:
- The economic surplus to an individual from consuming a good is given by:
- A change in “demand” of a good is caused by ______________; a change in “quantity demanded” of a good is caused by ______________:
- Based on the diagram below, which of the following best explains the change depicted?
- A production possibilities curve with a bowed outward shape indicates:
- The increased popularity of screw off caps on wine bottles has led to a decrease in the demand for cork. As a result, we can expect that:
- If supply shifts in (leftward) and simultaneously demand shifts out (rightward), what can we expect to happen to the equilibrium price and quantity?
- Based on the table below, the buyer’s and seller’s surplus associated with the good shown above respectively equal:
- If all costs of producing a good are borne directly by sellers, and if all benefits from the good accrue directly to buyers, then:
- The law of demand says that:
- The real price of a good is given by:
- Kate can grade 10 exams in an hour or grade 5 papers in an hour. Mike can grade 30 exams or grade 6 papers in an hour. Which of the following statements is true?
- Suppose there are 10 individuals in the market, each with the demand curve shown below. Which of the following statements is true about the market demand?
- In the market depicted below, the equilibrium price and quantity are indicated by P* and Q* respectively. The area of consumer surplus is best indicated by letter(s):
- If demand for a product is elastic with respect to price, this means the:
- Suppose when the price of tennis balls increases by 5%, the quantity demanded decreases by 4%. The price elasticity of demand for tennis balls equals:
- All of the following characteristics influence the price elasticity of demand for a good except:
- Which of the following would shift the production possibilities curve outward?
- For a seller facing the demand curve shown below, as price decreases from $10 to $0:
- Which of the following statements is true regarding decision making?
- A firm knows that the price elasticity of demand for the good they are selling equals 1.5. If they increase the price they charge for their good:
- A perfectly inelastic supply curve is: