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Micro 2.1-Demand Skills Check

Last updated 6 months ago
7 questions
Remember....a buyer/consumer of a good or service is ONLY considered a buyer/consumer if they meet the following 2 conditions:

1. They are willing to buy a G or S.
2. They are able to buy a G or S.
1
A demand schedule shows...how much of a good or service consumers are _______ and _______ to buy at different prices. (1 word for each blank)
1

According to the Law of Demand, as price rises, the ___________ _____________ falls. 2 words

1

A change in demand is a shift of the demand curve.

1

A shift of the demand curve is NOT the same thing as a movement along the demand curve.

1

Your Individual Demand Curve is ________________ summed with your friend's Individual Demand Curve to make a market demand curve. (1 word)

8

Match the definition to the term.

Draggable itemCorresponding Item
______________________________ indicates how much of a product consumers are both willing and able to buy at each price during a given time period, other things constant.
Demand
A change in price of a good, other things constant, causes a ______________________________ a demand curve for that good.
Law of Demand
______________________________ are your likes and dislikes as a consumer.
Buyer Expenditure
The ______________________________ says that quantity demanded varies inversely with price, other things constant.
Normal Good
The demand for a(n) ______________________________ increases as money income increases—that is, the demand curve shifts rightward when consumer income increases.
Inferior Good
Products that can be used in place of each other are called ______________________________.
Substitutes
______________________________ is price multiplied by the quantity demanded at that price.
Tastes & Preferences
The demand for a(n) ______________________________ decreases as money income increases.
Movement Along
14

Assume this is the market for tomatoes.

  • Decrease in Price of Tomatoes
  • Consumers expect the price of tomatoes to be higher in the future
  • Increase in buyer income and tomatoes are inferior
  • Increase in the number of buyers of tomatoes
  • Increase in Price of Tomatoes
  • A new news headline, "Tomatoes are good for you!"
  • Tomatoes go on sale TOMORROW at the local farmer's market
  • The price of cheese, a complement for tomatoes, has decreased
  • Decrease in consumer income and tomatoes are a normal good
  • Decrease in buyer income and tomatoes are inferior
  • A recent article linking tomatoes to acid reflux
  • Increase in consumer income and tomatoes are a normal good
  • The price of pesto, a substitute for tomatoes, has increased
  • Decrease in the number of buyers of tomatoes
  • Increase in Demand for Tomatoes
  • Decrease in Demand for Tomatoes
  • Increase in Quantity Demand for Tomatoes
  • Decrease in Quantity Demand for Tomatoes