Mr. Campbell’sEconomics ClassDemand Review

Click here to begin

Economics ReviewIf you can do well

on this review, you will be in good

shape for the test

Click here to continue

Question #1Which of the following is NOT a requirement for demand to exist?

Desire Ability

Aptitude Willingness

CorrectClick

here to go to the

next Question

Wrong Answer!

Click here to try again

Question #2The study of behaviors and decisions that people make is called?

Econometrics Micro Economics

Macro Economics

Personal Finance

CorrectClick

here to go to the

next Question

Question #3A demand schedule is which of the following?

Listings Picture

Graph

CorrectClick

here to go to the

next Question

Question #4The demand schedule shows various quantities of a product over a wide period of time?

True False

CorrectClick

here to go to the

next Question

Question #5You normally have to create a demand schedule first, then create a demand graph

TRUE FALSE

CorrectClick

here to go to the

next Question

Question #6The Law of Demand (LoD) is what type of relationship?

Inverse Positive

Upward Sloping

CorrectClick

here to go to the

next Question

Question #7The LoD assumes that people behave normally.

FALSETRUE

CorrectClick

here to go to the

next Question

Question #8LoD: price represents a/an ______ for people to buy items

Barrier to entry

Common sense

Obstacle Amount wanted

CorrectClick

here to go to the

next Question

Question #9The amount of usefulness that someone gets from a product is called?

demand utility

inverse supply

CorrectClick

here to go to the

next Question

Question #10the extra satisfaction a person gets from using ONE more unit of product is called

Marginal Demand

Diminishing Demand

Diminishing Utility

Marginal Utility

CorrectClick

here to go to the

next Question

Question #11the extra satisfaction a person gets from using one more product get less and less each timeDiminishing

marginal utility

Diminishing Demand

Diminishing Returns

Productivity

CorrectClick

here to go to the

next Question

Question #12The change in price causes a ______ the demand curve

Movement along No change in

Shift in

CorrectClick

here to go to the

next Question

Question #13If a product has an inelastic demand, price and expenditure move …

In opposite direction

sNo change in

In same direction

CorrectClick

here to go to the

next Question

Question #14when prices increase, the demand for g/s will result in?

Demand for more products

Demand for fewer

products

Reduced demand for substitutes

Increased demand for

complements

CorrectClick

here to go to the

next Question

Question #15Two products that are closely related together in their demand are called

substitutes unrelated

elastic complements

CorrectClick

here to go to the

next Question

Question #16 Advertising, fashion trends, and new product introductions serve to

create consumer

needs

increase income

effectiveness

create consumer demand

minimize the income effect

CorrectClick

here to go to the

next Question

Question #17A price increase has little or no effect on how much people buy, the demand for the product is

Complementary Substitutes

Inelastic Elastic

CorrectClick

here to go to the

next Question

Question #18Which of the following DOES NOT cause a movement along the DC

Income Effect

Consumer Tastes

Substitution Effect

CorrectClick

here to go to the

next Question

Question #19The income effect alters what?

People ability to substitute one

good for another

The number of consumers buying a product

Peoples real income

Substitutes available for

purchase

CorrectClick

here to go to the

next Question

Question #20The substitution effect allows consumers to …

Replace one expensive item with a cheaper

item

Increase their income to buy whatever they

want

Increase Demand for the original product

CorrectClick

here to go to the

next Question

Question #21When an item may cause poor health, or you are just tired of something, that will …

Move prices along the DC

Shift the DC left

Shift the DC right

Have no effect on the

DC

CorrectClick

here to go to the

next Question

Question #22Two products that are closely related together in their demand are called

substitutes unrelated

elastic complements

CorrectClick

here to go to the

next Question

Question #23When consumer income rises, demand rises as well, shifting the DC left for any given product

TRUE FALSE

CorrectClick

here to go to the

next Question

Question #24when the price for good A increase, the demand for good B also increase, these goods are …

substitutes unrelated

elastic complements

CorrectClick

here to go to the

next Question

Question #25which of the following are NOT complementary goods?

Cars and tires

PBJ

Butter and margarine

Ketchup and french fries

CorrectClick

here to go to the

next Question

Question #26If you think prices are going up NEXT week, you will buy ____

More next week

More this week

Less right now None at all

CorrectClick

here to go to the

next Question

Question #27If you have more consumers competing for one product, then the DC will …

Shift left Move along the curve

Not shift Shift right

CorrectClick

here to go to the

next Question

Question #28Elasticity measures the responsiveness of quantity to a change in …

taste price

expectations

CorrectClick

here to go to the

next Question

Question #29when a change in price causes a relatively larger change in quantity demanded, a product is said to be …

elastic inelastic

CorrectClick

here to go to the

next Question

Question #30when a customer’s demand for a product moves in the amount (percentage wise) as the price increase, it is

inelastic elastic

Unit elastic

CorrectClick

here to go to the

next Question

Question #31The LoD has a ________ relationship between price and quantity wanted

proportional inverse

complementary

CorrectClick

here to go to the

next Question

Question #32If you ask your self “can this purchase be delayed?” and you say yes, then the product is …

inelastic substitutes

complementary elastic

CorrectClick

here to go to the

next Question

Question #33the period of production that is too short for any adjustments in production, other than labor, is called …

Long run Short run

CorrectClick

here to go to the

next Question

Question #34if you multiple the price of a product times the quantity demanded (sold), it is called?

Inelastic demand Marginal price

Law of SupplyTotal

Expenditure

CorrectClick

here to go to the

next Question

Congratulations

If you did well on this review, you will do well on the test on TuesdayClick here to see the test

format

Click here to complete the

Review

Test FormatThe test is set up as: Five True / False Questions Thirteen Multiple Choice Questions Ten Matching Questions

Click here for more test

info

General Test InfoTest will be scantron format (bring a pencil)

There will be bonus questions (general economics and cultural knowledge)

There will be a headlines part, a demand graph, and the test questions (three parts) Click here to complete

the Review

Good luck on the test on Tuesday!