Supply and Demand: Sample Quiz Choose the most correct answer. Either click on a button or enter your answer in the box to the left of the question. When you have answered them all, click the Check-My-Answers button and you will see how well you know this material. 1. The price at which there is neither surplus nor shortage is called: the adjustment price. the equal price. the fair price. the market-clearing price. 2. Suppose that there has been a decline in the price of pork. What effect will this have on the market for beef? It will decrease demand and decrease supply. It will decrease demand and decrease quantity supplied. It will decrease quantity demanded and decrease supply. It will decrease quantity demanded and decrease quantity supplied. 3. Which of the following will move the demand curve for pork to the right? A reduction in the cost of corn that is used to feed pigs A reduction in the price of pork An increase in the price of beef All of the above 4. If both the demand curve and supply curve move to the left, we can predict: price will fall, but we cannot predict quantity. price will rise, but we cannot predict quantity. quantity will rise, but we cannot predict price. quantity will fall, but we cannot predict price. 5. Which of the following provides an example of complementary goods? Pepsi and Coca-Cola French fries and catsup Milk and orange juice Beef and pork 6. If shoe-repair services are an inferior good, then: if people's incomes go up, they spend less for shoe repair. if the price of shoe repair falls, people want less of it. people will only want shoe repair services if they are deceived by advertising. people do not base their decisions to buy shoe repairs on costs-benefit reasoning. 7. An increase in the price of chicken feed shifts the supply curve for eggs to the left and moves buyers along the demand curve. In the jargon of economics, we have had a change in: supply and a change in quantity demanded. supply and a change in demand. quantity supplied and a change in quantity demanded. quantity supplied and a change in demand. 8. Suppose that both the price of gasoline and the amount of gasoline sold decline. Which of the following would account for this? A shift left of the demand curve, but no change in the supply curve A shift right of the demand curve, but no change in the supply curve A shift left of the supply curve, but no change in the demand curve A shift right of the supply curve, but no change in the demand curve Choose the most correct answers. Either click the buttons, or enter the answers from the keyboard. Return to Copyright Robert Schenk