• How is the current demand for a good related to its future price?*

1 point

Current demand is not related to future price.

If the price is expected to drop, current demand will fall.

If the price is expected to rise, current demand will fall.

• If the price is expected to drop, current demand will rise.

True or False: A change in price results in a change in quantity demanded*

1 point

True

False

• What are normal goods?*

1 point

Goods for which the demand rises when income rises

Goods that no one wants to buy

Goods that are produced with great care and quality

• Goods for which the demand falls when income rises

What is a basic principle of the law of demand?*

1 point

When a good's price is lower, people will buy more of it.

Everyone has a limited income that they will spend.

The higher the price, the more people will want the good.

Services are of interest in the same way that goods are.

Your answer

• What states that the more a consumer consumes a product...the less satisfaction they will receive from each additional unit?

1 point

Law of Decreasing Marginal Utility

Law of Increasing Cost

Law of Demand

Tragedy of the Commons

• Which of these will result in a decrease in quantity demanded for toilet paper?*

1 point

An increase in price

Income rises

The population rises

A decrease in price

• An advertisement saying using toilet paper is good for the environment.

When a consumer is able and willing to buy a good or service, he or she creates which of the following?*

1 point

Allocation

Equity

Demand

Elasticity

Scenario: Economists announce that the unemployment rate will increase 3 points for the next six months ..... What will happen to the demand for new homes? Which curve represents this change in demand?) What factor/shifter of demand is present in this problem? (3 parts to your answer) * ) \\ D2 Demand D1 D3 0 Quantity (0) Price ($