Econ 201 Exam 2 with accurate detailed solutions ||//\\|| ||//\\|| ||//\\|| ||//\\|| ||//\\|| ||//\\|| ||//\\||
the amount of a good that households want to consume given their income and prices in a
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given time period - correct answer✔✔quantity demanded
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shows the relationship between the price level and the quantity demanded - correct
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answer✔✔demand schedule ||//\\||
as the price of a good increases, the quantity demanded falls - correct answer✔✔law of
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demand
the price of a good compared to the price of another good - correct answer✔✔relative price
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as more units of a good are consumed, additional units provide less benefit - correct
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answer✔✔law of diminishing marginal benefit ||//\\|| ||//\\|| ||//\\|| ||//\\||
amount consumer is willing to pay-amount actually must pay - correct answer✔✔consumer
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surplus
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the amount of a commodity that a firm plans to sell in a given time period at a given price -
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correct answer✔✔quantity supplied ||//\\|| ||//\\||
as the price for which a good can be sold increases, the quantity of that good that is
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supplied will increase - correct answer✔✔law of supply ||//\\|| ||//\\|| ||//\\|| ||//\\|| ||//\\|| ||//\\|| ||//\\||
shows the relationship between the price level and the quantity supplied - correct
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answer✔✔supply schedule ||//\\||
, the total economic cost of producing a good or service - correct answer✔✔opportunity cost
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of production
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to supply additional units of a good, producers have greater opportunity costs, so the price
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must rise to induce producers to supply greater quantities - correct answer✔✔law of
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increasing costs ||//\\||
an excess of sales revenue relative to the cost of production - correct answer✔✔profit
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a deficit of sales revenue relative to the opportunity cost of production - correct
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answer✔✔loss
amount actually paid to producer -amount must be paid to be willing to provide the good -
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correct answer✔✔producer surplus ||//\\|| ||//\\||
in the market is where quantity supplied=quantity demanded - correct
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answer✔✔equilibrium
a situation in which all of the potential gains from trade have been realized - correct
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answer✔✔economic efficiency ||//\\||
a movement along a demand curve caused by a change in the price level - correct
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answer✔✔change in quantity demanded ||//\\|| ||//\\|| ||//\\||
a shift of the entire demand curve due to a change in one of the determinants of demand -
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correct answer✔✔change in demand ||//\\|| ||//\\|| ||//\\||
the amount of a good that households want to consume given their income and prices in a
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given time period - correct answer✔✔quantity demanded
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shows the relationship between the price level and the quantity demanded - correct
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answer✔✔demand schedule ||//\\||
as the price of a good increases, the quantity demanded falls - correct answer✔✔law of
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demand
the price of a good compared to the price of another good - correct answer✔✔relative price
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as more units of a good are consumed, additional units provide less benefit - correct
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answer✔✔law of diminishing marginal benefit ||//\\|| ||//\\|| ||//\\|| ||//\\||
amount consumer is willing to pay-amount actually must pay - correct answer✔✔consumer
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surplus
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the amount of a commodity that a firm plans to sell in a given time period at a given price -
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correct answer✔✔quantity supplied ||//\\|| ||//\\||
as the price for which a good can be sold increases, the quantity of that good that is
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supplied will increase - correct answer✔✔law of supply ||//\\|| ||//\\|| ||//\\|| ||//\\|| ||//\\|| ||//\\|| ||//\\||
shows the relationship between the price level and the quantity supplied - correct
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answer✔✔supply schedule ||//\\||
, the total economic cost of producing a good or service - correct answer✔✔opportunity cost
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of production
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to supply additional units of a good, producers have greater opportunity costs, so the price
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must rise to induce producers to supply greater quantities - correct answer✔✔law of
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increasing costs ||//\\||
an excess of sales revenue relative to the cost of production - correct answer✔✔profit
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a deficit of sales revenue relative to the opportunity cost of production - correct
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answer✔✔loss
amount actually paid to producer -amount must be paid to be willing to provide the good -
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correct answer✔✔producer surplus ||//\\|| ||//\\||
in the market is where quantity supplied=quantity demanded - correct
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answer✔✔equilibrium
a situation in which all of the potential gains from trade have been realized - correct
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answer✔✔economic efficiency ||//\\||
a movement along a demand curve caused by a change in the price level - correct
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answer✔✔change in quantity demanded ||//\\|| ||//\\|| ||//\\||
a shift of the entire demand curve due to a change in one of the determinants of demand -
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correct answer✔✔change in demand ||//\\|| ||//\\|| ||//\\||
