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Tests, Surveys, and Pools Tests
Test Canvas : Self-Test Quiz - Chapter 03
Microeconom ics, 3e
Test Canvas: Self-Test Quiz - Chapter 03
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Total Questions 22
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1. Multiple Choice: What best describes the competitive m...
Question What best describes the competitive market?
Answer
The government controls the allocation of inputs in production.
2. Multiple Choice: If the price of a bale of cotton incr...
Question If the price of a bale of cotton increases from $0.80 to $1.20, and a pound of
Kenyan coffee decreases from $12 a pound to $10 a pound, we can expect a(n):
Answer shift to the left in the supply curve of cotton.
increase in the quantity supplied of Kenyan coffee.
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Points: 1
Points: 1
3. Multiple Choice: If coffee is a normal good, then an i...
Question If coffee is a normal good, then an increase in consumer income will:
Answer
increase the supply of coffee
4. Multiple Choice: If air travel to Hawaii becomes less ...
Question If air travel to Hawaii becomes less expensive, what is likely to happen in the
market for hotel rooms in Hawaii?
Answer
The demand curve for hotel rooms will shift to the left.
Points: 1
Points: 1
5. Multiple Choice: Consider the market for kayaks. What ...
Question Consider the market for kayaks. What happens when the process of manufacturing
kayaks becomes less costly through the use of new technology?
Answer
The demand curve for kayaks will shift to the left.
6. Multiple Choice: How would an increase in the price of...
Question How would an increase in the price of cotton affect the market for cotton T-shirts at
your university bookstore?
Answer
The demand curve for cotton T-shirts will shift to the left.
7. Multiple Choice: A price above the equilibrium price w...
Question A price above the equilibrium price will:
Points: 1
Points: 1
Points: 1
8. Multiple Choice: Suppose that over time, you have obse...
Question Suppose that over time, you have observed an increase in the number of people
owning digital cameras and a decrease in the price of these cameras. Which of the
following would account for this?
9. Multiple Choice: What happens in the market for wheat ...
Question What happens in the market for wheat when dry winter weather causes a poor
harvest?
Answer
The demand for wheat increases and the supply remains unchanged.
Points: 1
Points: 1
10. Multiple Choice: Which of the following changes would ...
Question Which of the following changes would cause a decrease in the demand for DVD
rentals?
Answer
a decrease in the price of DVD players
11. Multiple Choice: Which of the following would cause a ...
Question Which of the following would cause a surplus of newsprint?
Answer
The supply of newsprint decreases, and the price does not change.
12. Multiple Choice: If the supply curve shifts to the lef...
Question If the supply curve shifts to the left, and the demand curve does not change then
the equilibrium price:
Answer and quantity both will increase.
Points: 1
Points: 1
Points: 1
13. Multiple Choice: If the demand curve shifts to the lef...
Question If the demand curve shifts to the left, and the supply curve does NOT change, then
the equilibrium price:
Answer
and quantity both will increase.
14. Multiple Choice: Many firms compete in providing overn...
Question Many firms compete in providing overnight delivery services. If the market for
overnight delivery services experiences an increase in price, what must have
happened?
Answer
An increase the supply.
Points: 1
Points: 1
15. Multiple Choice: Which of the following could account ...
Question Which of the following could account for the fact that ice cream prices have
recently increased and that consumption of ice cream has declined?
16. Multiple Choice: The upward slope of the supply curve ...
Question The upward slope of the supply curve indicates that:
Answer
consumers seek to buy goods that are relatively less expensive.
17. Multiple Choice: The downward slope of the demand curv...
Question The downward slope of the demand curve indicates that, all else equal:
Points: 1
Points: 1
Points: 1
18. Multiple Choice: A shortage is the result of when:
Question A shortage is the result of when:
19. Multiple Choice: What would be the dominant effect in ...
Question What would be the dominant effect in the market for new homes of an increase in
the wages of skilled tradesmen who work in housing construction?
Answer
The supply of new homes would shift to the right.
20. Multiple Choice: The equilibrium price of a good is th...
Question The equilibrium price of a good is the price:
Answer that consumers prefer.
Points: 1
Points: 1
Points: 1
21. Multiple Choice: Consider gas stations. As a result of...
Question Consider gas stations. As a result of an economic recession and a decrease in
consumer incomes, there will be a:
22. Multiple Choice: If both gasoline and jet fuel prices ...
Question If both gasoline and jet fuel prices increase significantly due to a war in the Middle
East. The impact on Federal Express will be a:
Points: 1
Points: 1
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