PLEASE HELP ME ANSWER THE FOLLOWING:

1.Shifts in either the demand curve alone or the supply curve cannot cause a change in the equilibrium point. It is only when both the demand curve and supply curve shift that the equilibrium point is changed.*

True

False

2.The supply curve is upward sloping from left to right. The demand curve is downward sloping from left to right.*

True

False

3.Demand being equal to supply is easy to achieve in reality.*

True

False

4.Increase in the cost of production will shift the supply curve downward to the right.*

True

False

5.Demand is unitary elastic when a change in determinant leads to a proportionately equal change in the quantity of demand or supply. In this case the coefficient of elasticity equals to one.*

True

False

6.Normally, the coefficient of price elasticity has a positive sign because of the direct relationship between price and demand.*

True

False

7.The demand for a product is defined as the different quantities of a good that buyers are willing to buy.*

True

False

8.Demand may be described as elastic when a change in a determinant leads to a proportionately greater change in the quantity of demand or supply.*

True

False

9.A decrease in the cost of production will shift the supply curve to the left. An increase in the cost of production will shift the supply curve to the right.*

True

False

10.Change in price will bring about change in quantity, which will also bring about change in demand or supply.*

True

False

11.The scarcity of raw materials will result in the shift of the supply curve upward to the left.*

True

False

12.The supply of a product is defined as the different quantities that sellers are willing to sell.*-

True

False

13.Price elasticity is an important decision-making tool to the seller because based on the nature of the good, he can decide on how far to go with a price change.*

True

False

14.Higher demand for oil, aggravated by decrease in supply, made the price of gasoline high*

True

False

15.Income elasticity is the responsiveness of demand to the changes in income. It expresses the percentage change in demand compared to a percentage change in income.*

True

False

16.Elastic means the consumers are not responsive to the change in price.*

True

False

17.When the income of the consumer increases, it can shift the demand curve upward to the right representing increase in demand.*

True

False

18.An increase in technology will reduce the supply of goods while an increase in cost of production may increase.*

True

False

19.An increase in price tends to make consumer buy less and sellers to sell more. A price decrease tends to cause the opposite reaction.*

True

False

20.An increase in population results in a greater demand since there will be more consumers as population increases.*

True

False

21.The consumer's income does not influence the demand for goods and services. The increase in demand due to an increase in income is not experienced in the economy.*

True

False

22.The increase or decrease in the entire demand is shown through a shift of the entire demand curve. This is referred to as a change in demand.*

True

False

23.An increase in income will shift the demand curve to the left on the graph. A decrease in income will shift the demand curve to the right.*

True

False

24.An increase in population does not shift the demand curve, as it has no bearing on the demand for any product. An increase in taste will shift demand curve to the right.*

True

False

25.A market is an interaction between buyers and sellers for trade or exchange. The consumer sells and the seller buys.*

True

False

PART II

Problem 1

Given:

Point Price (Php) Qd (in kilos)

A 125 8000

B 140 7750

C 145 4500

D 150 4320

1.How much is the price elasticity of demand at point A?*

-0.301075269

-0.260416667

-0.578703704

-0.537037037

2.How much is the price elasticity of demand at point B?*

-0.301075269

-0.260416667

-0.537037037

-0.578703704

3.How much is the price elasticity of demand at point C?*

-0.260416667

-0.301075269

-0.537037037

-0.578703704

4.How much is the price elasticity of demand from point A to D, using the mid point formula?*

-3.78

-3.285714286

-15.12244898

-8.241093621