Transcript An increase in the price of computers will result in:

Supply and Demand
Quiz 2
(There may be more than one correct
answer to each multiple-choice questions.)
1.An increase in the price of
computers will result in:
A. An increase in the quantity demanded of
computer software
B. A decrease in quantity demanded of computer
software
C. A decrease in demand for computer software
D. A decrease in demand for computers
E. A decrease in the quantity demanded of
computers
2. Which of the following will cause an
increase in demand for orange juice ?
A. An increase in the price of apples
B. An increase in the production of oranges in
Florida because of favorable weather
C. A declaration that orange juice prevents
cancer
D. A reduction in the price of orange juice
E. An increase in incomes due to good economic
conditions
3. An increase in the supply of
housing could be caused by:
A. an increase in the wage of carpenters
B. a decrease in the wage of carpenters
C. an increase in the price of new homes
D. higher incomes due to improved economic
conditions
E. the introduction of a new roofing material that
costs less, is more durable, and can be installed
twice as fast as the conventional shingles
P
S
15
10
6
D
o
Q
50
100
150
4. The above diagram represents the daily market for fish in a small
coastal village. Complete the following statements:
a. In a free market the price of fish will be ………and the quantity of
fish caught and sold will be …………….
b. If a price ceiling of $6 is imposed on this market, …………..fish
will be caught and ………………will be demanded.