QUESTION 6 Assume the graph below represents the market for earphones P Price R100 R80 R60 DQUESTION 5 Which one of the following will result in a decline in the demand for oil (illustrated by a leftward shift in the demand curve)? O A rise in oil prices. O A decrease in oil prices. O A recession in the USA and Europe. O The discovery of new oil deposits in the Seychelles. Increased sales of motor vehicles.What effect will the following combined events have on the market equilibrium position for bread? 1. A decrease in demand for bread after Prof Tim Noakes's book was published which highlighted the health risks associated with high carbohydrate diets 2. An increase in the number of workers employed in the major bread manufacturing factories eminating from a Labour Court ruling. The equilibrium quantity will increase but the effect on equilibrium price cannot be determined. O The equilibrium price will decrease but the effect on equilibrium quantity cannot be determined O The equilibrium quantity will remain unchanged and the effect on equilibrium price cannot be determined. QUESTION 8 What effect will the following combined events have on the market equilibrium position for donkeys? 1. An increase in demand for South African donkeys due to the use of donkeys as an ingredient in Chinese traditional medicine 2. An increase in South African government subsidies to South African donkey farmers breeding donkeys for the Chinese market The equilibrium price will increase but the effect on equilibrium quantity cannot be determined. The equilibrium quantity will increase but the effect on equlibrium price cannot be determined The equilibrium quantity will remain unchanged and the effect on equilibrium price cannot be determined.\fQUESTIONS The following equation represents the determinants of demand: Qd = f (Px, Pg. Y, T, N. ... ) Which symbol above represents the impact of the price of substitute products on demand? O Px O Pg OY ON QUESTION 4 The following equation represents the determinants of demand: Qd = f (Px, Pg, Y, T. N. . . ) What would occur if a market's Y increased (for an inferior good)? O The demand curve would shift to the left There would be an upward movement along the demand curve O The demand curve would shift to the right There would be a downward movement along the demand curveD 220 240 280 320 350 Quantity demanded Assume there is a shortage of earphones on the market. What would happen to the price of the earphones on the market? The price would drop towards R80 The price would rise towards R80 The price would remain unchanged None of the aboveQUESTION 1 What is the relationship between price and the quantity demanded according to the "Law of Supply"? O Inverse relationship (price and quantity demanded move in opposite directions). O Direct relationship (price and quantity demanded move in the same direction) QUESTION 2 The following equation represents the determinants of demand: Od = f (Px, Pg. Y, T, N, ... ) Which symbols above are held constant in order to focus on only those factors which have the largest impact on demand? O Px and Pg O Pg. Y and T O Pg. Y. T and N Pg. Y. T. N and