1、Chapter 4 The Market Forces of Supply and Demand1. In a perfectly competitive market, ( b )a. advertising is widely used to influence demand and price.b. firms are price takers rather than price makers.c. firms produce a small number of differentiated products.d. a small number of firms produce an i
2、dentical product.2. The amount of a good or service that buyers would be willing and able to purchase at a specific price is known as ( a )a. quantity demanded. c. supply.b. demand. d. quantity supplied.3. The demand curve for Beanie Baby dolls shows the quantity of dolls demanded ( d )a. by supplie
3、rs of those dolls.b. at the equilibrium price for Beanie Baby dolls.c. at each level of income.d. at each possible price of Beanie Baby dolls.4. Which of the following are the best examples of substitute goods? ( c )a. Personal computers and computer software programs.b. Milk and cookies.c. IBM and
4、HP personal computers.d. Hot dogs and mustard.5. Which of the following sets of goods are most likely to be complementary goods？( c )a. Shoes and pizza.b. Automobiles and computers.c. Baseballs and baseball gloves.d. Football tickets and baseball tickets.6. An increase in the number of tomato produc
5、ers will ( d )a. increase market supply becab. use the price of tomatoes will rise.c. increase market supply because market demand will increase as more tomatoes are produced.d. increase market supply because market supply is the sum of all individual tomato producers supply curves.e. increase marke
6、t demand but leave market supply unchanged.7. Suppose that the demand for apples increased more than the supply of apples increased. The net effect of these two changes would be a(n) ( b )a. increase in the equilibrium price and a decrease in the equilibrium quantity.b. increase in the equilibrium p
7、rice and an increase in the equilibrium quantity.c. decrease in the equilibrium price and an increase in the equilibrium quantity.d. decrease in the equilibrium price and a decrease in the equilibrium quantity.8. Given this data, the equilibrium price and quantity of CD players are ( c )a. $150 and
8、300 players. c. $250 and 600 players.b. $200 and 800 players. d. $300 and 650 players.QUANTITYQUANTITYPRICEDEMANDEDSUPPLIED(units per week)(units per week)$1001,000100$150 900300$200 800500$250 600600$300 3006509. Given this data, if the price of CD players is $200, ( b )a. there will be a surplus.b
9、. there will be a shortage.c. the market is in equilibrium.d. the supply will increase.10. Temporary shortages in a market are eliminated by ( d )a. decreases in the price, which cause quantity supplied to fall and quantity demanded to rise.b. decreases in the price, which cause quantity supplied to
10、 rise and quantity demanded to fall.c. increases in the price, which cause quantity supplied to fall and quantity demanded to rise.d. increases in the price, which cause quantity supplied to rise and quantity demanded to fall.11. When a market is in equilibrium, ( a )a. quantity demanded will equal
11、quantity supplied.b. a shortage will be present.c. a surplus will be present.d. sellers will continue to expand production to increase revenues.12. If a drought destroyed half of the U.S. garlic crop at a time when the health benefits of garlic were being well-publicized, economists would expect tha
12、t in the market for garlic ( b )a. quantity exchanged would rise but the change in price is uncertain without further information.b. price would rise but the change in quantity exchanged is uncertain without further information.c. both price and quantity exchanged would rise.d. price would rise and
13、quantity exchanged would fall.13. The discovery of new gold in South America will _ the price of gold and _ the quantity of gold traded. ( b )a. raise; raiseb. lower; raisec. raise; lowerd. lower; lower14. Higher wages in the U.S. auto industry would _ the prices of autos and _ the quantity exchange
14、d. ( c )a. lower; lowerb. lower; raisec. raise; lowerd. raise; raise15. If Francis receives a decrease in his pay, we would expect ( d )a. Franciss demand for each good he purchases to remain unchanged.b. Franciss demand for normal goods to increase.c. Franciss demand for luxury goods to increase.d.
15、 Franciss demand for inferior goods to increase.16. Suppose that a decrease in the price of X results in less of good Y sold. This would mean that X and Y are ( d )plementary goods.b.normal goods.c.inferior goods.d.substitute goods.17.The movement from point A to point B on the graph would be caused
16、 by ( b )a.an increase in price.b.a decrease in price.c.a decrease in the price of a substitute good.d.an increase in income.18.The movement from point A to point B on the graph shows ( d )a.a decrease in demand.b.an increase in demand.c.a decrease in quantity demanded.d.an increase in quantity dema
17、nded.19. Which graph could be used to show the result of 5 percent of the countrys smokers deciding to stop smoking? ( c )a.Ab.Bc.Cd.Each graph could be used to show the result.20.In a market, to find the total amount supplied at a particular price, ( a )a.we must add up all of the amounts firms are
18、 willing and able to supply at that price.b.we need to know the demand for the good as well.c.the tastes and preferences of buyers must be established.d.the income level of buyers would need to be determined.21.The movement from point A to point B on the graph would be caused by ( b )a.a decrease in
19、 the price of the good.b.an increase in the price of the good.c.an increase in technology.d.a decrease in input prices.22.The movement from point A to point B on the graph is called ( c )a.a decrease in supply.b.an increase in supply.c.an increase in the quantity supplied.d.a decrease in the quantit
20、y supplied.23. When evaluating differences or similarities between an increase in supply and an increase in quantity supplied we know that ( a )a.the former is a shift of the curve and the latter is a movement along the curve.b.the former is a movement along the curve and the latter is a shift of th
21、e curve.c.both are shifts of the supply curve.d.both are movements along the curve.24. Which of the following would unambiguously cause a decrease in the equilibrium price of cotton shirts? ( b )a.an increase in the price of wool shirts and a decrease in the price of raw cottonb.a decrease in the pr
22、ice of wool shirts and a decrease in the price of raw cotton.c.an increase in the price of wool shirts and an increase in the price of raw cotton.d.a decrease in the price of wool shirts and an increase in the price of raw cotton.25. What would happen to the equilibrium price and quantity of coffee
23、if the wages of coffee-bean pickers fell and the price of tea fell? ( a )a.Price will fall and the effect on quantity is ambiguous.b.Price will rise and the effect on quantity is ambiguous.c.Quantity will fall and the effect on price is ambiguous.d.Quantity will rise and the effect on price is ambiguous.Chapter 4 (5-6)
