Figure 4-1 7 later to Figure 417. At a price of O a. $2, there is a surplus of6 units. O b. $5, there is a surplus 0f25 units. 0 c. $5, there is a shortage of $25. 0 d. $7, there is a surplus of4 units. Figure 4-18 10!] 200 SUI] +00 500 600 1'00 800 \"mm?" {efer to Figure 418.At a price of $35, there would he a O a. shortage of 400 units. 0 b. surplus of200 units. O c. surplus of 400 units. O d. surplus of 600 units. \fIn a competitive market, the price of a product 0 a. is determined by buyers, and the quantity of the product produced is determined by sellers. O b. is determined by sellers, and the quantity of the product produced is determined by buyers. 0 c. and the quantity of the product produced are both determined by sellers. 0 d. None of the above is correct. An increase in quantity demanded O a. results in a movement downward and to the right along a demand curve. O b. results in a movement upward and to the left along a demand curve. 0 c. shifts the demand curve to the left. 0 d. shifts the demand curve to the right. An increase in the price of a good will 0 a. increase demand. 0 b. decrease demand. 0 c. increase quantity demanded. Q d. decrease quantity demanded. When the price of a good or service changes, 0 a. the demand curve shifts in the opposite direction. 0 b. the supply curve shifts in the opposite direction. 0 c. the supply curve shitts in the same direction. 0 d. there is a movement along a given supply curve. Which of the following would cause a movement along the supply curve for cupcakes? O a. an improvement in technology for commercial mixers O b. a decrease in the price of cupcakes O c. an increase in the price of cake our 0 d. All of the above are correct. Figure 6-14 24 Price Suppl! 21 18 15 12 9 A band 20 40 6|] 8|] 10012014D16D13 Quantity efer to Figure 614. If the horizontal line on the graph represents a price ceiling, then the price ceiling is 3 a. binding and creates a shortage of 20 units of the good. D b. binding and creates a shortage of 40 units of the good. 3 c. not binding but creates a shortage of 40 units of the good. D d. not binding, and there will be no surplus or shortage of the good. Figure 6-14 24 Price Scull! 21 18 15 12 9 A band 2|] 4|] 6|] 8|] 100120140160180 Quantity Refer to Figure 614. If the horizontal line on the graph represents a price oor, then the price oor is O a. binding and creates a shortage of 20 units of the good. 0 b. binding and creates a shortage of 40 units of the good. 0 c. not binding but creates a shortage of 40 units of the good. 0 d. not binding, and there will be no surplus or shortage of the good. 153045607590105Q Refer to Figure 615. For a price ceiling to be binding in this market, it would have to be set at O a. any price below $3. 0 b. a price between $2 and $3. 0 c. a price between $3 and $4. 0 d. any price above $3
