If the demand for sardines increases as income decreases, sardines are a(n) correct answers Inferior Goods
Demand for one item goes down when the price of another item goes up. These items must be correct answers Complements
Refer to Figure 3.2. Which of the following would be most likely to ...
ECON 130, QUIZ 4 || A Verified A+ Pass.
If the demand for sardines increases as income decreases, sardines are a(n) correct answers
Inferior Goods
Demand for one item goes down when the price of another item goes up. These items must be
correct answers Complements
Refer to Figure 3.2. Which of the following would be most likely to cause the demand for
macaroni and cheese to shift from D 1 to D 0? correct answers Increase in income, assuming that
Mac and Cheese is a normal good.
Refer to Figure 3.17. At a price of $90, there is an excess correct answers Supply of 450
Scientists find that eating corn three times a day will prolong life. This leads to a shift in
preferences away from wheat and toward corn. As we move from one equilibrium to another, we
can predict that correct answers All input market are affected
Refer to Figure 12.3. The DVD industry is a constant-cost industry. As the demand for DVD
players shifts from D to D', which of the following is LEAST likely to result? correct answers
Competitive price will increase to $5 in the long and short run.
Refer to Figure 4.4. At the world price of $125 per barrel of oil, the United States imports
________ million barrels of oil per day. correct answers 6
When the decrease in the price of one good causes the demand for another good to decrease, the
goods are correct answers Substitute
Refer to Figure 3.7. If pizza and beer are complementary goods, a decrease in the price of beer
will cause a movement from Point B on demand curve D 2 to correct answers Demand curve D3
Refer to Figure 3.11. Assume hamburgers are a normal good. An increase in income will cause a
movement from: correct answers D1 to D2
Refer to Figure 3.11. Assume hamburgers and hot dogs are substitutes. A decrease in the price of
hot dogs will cause a movement from: correct answers D2 to D1
Consider the market for a particular good, in which firms and consumers are all price takers.
Suppose the demand curve slopes downwards while the supply curve slopes upwards. The
equilibrium for the market will be given by the price and quantity: correct answers Such that
demand equals supply
Refer to Figure 3.14. An increase in supply is represented by the movement from correct answers
S2 to S3
Resources are allocated efficiently when correct answers The market produces what people want
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller FullyFocus. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $10.49. You're not tied to anything after your purchase.
