ECO 201 Chapter 3 Demand and Supply Exam Questions Answered Correctly Graded A+
When any factor that influences buying plans changes, other than the price of the good. - Answers
Change in Demand
When any factor that influences selling plans other than the price of the good changes. - Answers
Change in Supply
A point on the demand curve shows the quantity demanded at a given price, so a movement along the
demand curve shows a change in the quantity demanded. - Answers Change in the Quantity Demanded
A point on the supply curve shows the quantity supplied at a given price, so a movement along the
supply curve shows a change in the quantity supplied. - Answers Change in the Quantity Supplied
A market that has many buyers and many sellers, so no single buyer or seller can influence the price. -
Answers Competitive Market
A good that is used in conjunction with another good. - Answers Complement
The entire relationship between the price of a good and the quantity demanded of that good. - Answers
Demand
Shows the relationship between the quantity demanded of a good and its price when all other
influences on consumers' planned purchases remain the same. - Answers Demand Curve
The price at which the quantity demanded equals the quantity supplied. - Answers Equilibrium Price
The quantity bought and sold at the equilibrium price. - Answers Equilibrium Quantity
One for which demand decreases as income increases. - Answers Inferior Good
Other things remaining the same, the higher the price of a good, the smaller is the quantity demanded;
and the lower the price of a good, the greater is the quantity demanded. - Answers Law of Demand
Other things remaining the same, the higher the price of a good, the greater is the quantity supplied;
and the lower the price of a good, the smaller is the quantity supplied. - Answers Law of Supply
The number of dollars that must be given up in exchange for it. - Answers Money Price
One for which demand increases as income increases. - Answers Normal Good
The amount that consumers plan to buy during a given time period at a particular price. - Answers
Quantity Demanded
The amount that producers plan to sell during a given time period at a particular price. - Answers
Quantity Supplied
The ratio of one price to another (an opportunity cost). - Answers Relative Price
When any factor that influences buying plans changes, other than the price of the good. - Answers
Change in Demand
When any factor that influences selling plans other than the price of the good changes. - Answers
Change in Supply
A point on the demand curve shows the quantity demanded at a given price, so a movement along the
demand curve shows a change in the quantity demanded. - Answers Change in the Quantity Demanded
A point on the supply curve shows the quantity supplied at a given price, so a movement along the
supply curve shows a change in the quantity supplied. - Answers Change in the Quantity Supplied
A market that has many buyers and many sellers, so no single buyer or seller can influence the price. -
Answers Competitive Market
A good that is used in conjunction with another good. - Answers Complement
The entire relationship between the price of a good and the quantity demanded of that good. - Answers
Demand
Shows the relationship between the quantity demanded of a good and its price when all other
influences on consumers' planned purchases remain the same. - Answers Demand Curve
The price at which the quantity demanded equals the quantity supplied. - Answers Equilibrium Price
The quantity bought and sold at the equilibrium price. - Answers Equilibrium Quantity
One for which demand decreases as income increases. - Answers Inferior Good
Other things remaining the same, the higher the price of a good, the smaller is the quantity demanded;
and the lower the price of a good, the greater is the quantity demanded. - Answers Law of Demand
Other things remaining the same, the higher the price of a good, the greater is the quantity supplied;
and the lower the price of a good, the smaller is the quantity supplied. - Answers Law of Supply
The number of dollars that must be given up in exchange for it. - Answers Money Price
One for which demand increases as income increases. - Answers Normal Good
The amount that consumers plan to buy during a given time period at a particular price. - Answers
Quantity Demanded
The amount that producers plan to sell during a given time period at a particular price. - Answers
Quantity Supplied
The ratio of one price to another (an opportunity cost). - Answers Relative Price
