Assume the price of a movie is $10. Jenna demands 2 movies per week, Sam demands 3 movies per week, and Jordan demands 8 movies per week. From this information we can conclude that A) the market quantity demanded at a price of $10 is at least 13 movies per week. B) Jordan is obviously […]
Date: September 9th, 2020
During the winter of 1997-1998, the northeastern United States experienced warmer than usual conditions. The price of home heating oil was less than it was during the previous winter, but people bought less home heating oil. This contradicts the Law of Demand. Indicate whether the statement is true or false ANSWER False. The statement […]
Date: September 9th, 2020
The market supply curve is found by A) horizontally summing all individual supply curves. B) vertically summing all individual supply curves. C) Either A or B above since they both give the same answer. D) None of the above. ANSWER A
Date: September 9th, 2020
The demand function for tickets to Ireland is expressed as Qd = 1600 – 0.005P + 2PEngland + 3rain + 2Y, where P is the price for tickets to Ireland, PEngland is the price of tickets to England, rain is the inches of rain Ireland receives annually, and Y is annual household income. Assuming PEngland […]
Date: September 9th, 2020
If a good is not produced, then there is no demand for it. Indicate whether the statement is true or false ANSWER False. The demand for a product is independent of its supply. It is possible that people want to buy some of the product but at prices that are below what sellers would […]
Date: September 9th, 2020
Suppose the market demand curve for pizza can be expressed as QD = 100 – 2P + 3Pb, where QD is the quantity of pizza demanded, P is the price of a pizza, and Pb is the price of a burrito. What is the slope of this demand function, and what information does the slope […]
Date: September 9th, 2020
Suppose the demand for a particular product can be expressed as Q = 100/p. Calculate the total amount spent on this good when p = 10, 20, and 50. Can you make a generalization about the mathematical form of this demand curve and consumer behavior in this market? What will be an ideal response? […]
Date: September 9th, 2020
Suppose the demand curve for a good shifts rightward, causing the equilibrium price to increase. This increase in the price of the good results in A) a rightward shift of the supply curve. B) an increase in quantity supplied. C) a leftward shift of the supply curve. D) a downward movement along the supply curve. […]
Date: September 9th, 2020
Suppose the market demand curve for tacos can be expressed as QD = 120 – 3P – Pb, where QD is the quantity of tacos demanded, P is the price of a taco, and Pb is the price of a burrito. What is the relationship between burritos and tacos, from the point of view of […]
Date: September 9th, 2020
Suppose the market demand curve for apples can be expressed as QD = 220 – 2P – Pb + 0.2Y, where QD is the quantity of apples demanded, P is the price of an apple, Pb is the price of a banana, and Y is the average annual household income in thousands of dollars. What […]
Date: September 9th, 2020
