1)Suppose a buyer is planning to buy a computer and a printer. An increase in the price of computers will cause

A)a decrease in the equilibrium price of printers and an increase in the equilibrium quantity of printers.

B)a decrease in the supply of printers and a decrease in the quantity demanded of printers.

C)an increase in the equilibrium price of printers and a decrease in the equilibrium quantity of printers.

D)a decrease in the demand for printers and a decrease in the quantity supplied of printers.

2)This is a hypothetical case. During the last Ramadan, there was a change in the price of onion from Tk. 60/Kg. to Tk. 80/Kg. and this happened within a month. Quantity demanded remained the same of 2Kg. despite the price increase. What is the price elasticity of demand for onion?

A)1

B)0

C)-1

D)

3)When tax is collected from buyers in a market

A)The buyers bear the burden of the tax

B)The tax burden may fall on both buyers and sellers

C)The tax burden is greater for the buyers

D)The sellers bear the burden of the tax

4)Which of the following shifts the demand for electric ovens to the right?

A)An increase in the price of electric ovens

B)A decrease in the price of microwave ovens if microwave ovens and electric ovens are substitutes

C)An increase in income if electric ovens are a normal good

D)A decrease in the price of electric ovens

5)The law of supply states that

A)Other things remaining the same, the higher the price of a good, the smaller is the quantity supplied and vice versa

B)Other things remaining the same, the higher the price of a good, the greater is the quantity supplied and vice versa.

C)Other things remaining the same, the higher the price of a good, the smaller is the quantity demanded and vice versa.

D)Other things remaining the same, the higher the price of a good, the greater is the quantity demanded and vice versa

6)If the tax is imposed on buyers

A)Supply curve will remain unchanged and demand curve will shift to the left.

B)Supply curve will shift to the left and demand curve will shift to the right.

C)Supply curve will shift to the right and demand curve will shift to the left

D)Supply curve will shift to the right and demand curve will remain unchanged.