Clemson ECON 2110 Leganza Final Exam
2026 Practice Test
1. The price of peanuts (an input) falls while the price of d. Equilibrium price will
jelly (a complement) rises. What will happen to equi- decrease but the ettect
librium price and quantity of peanut butter? on equilibrium quantity is
a. Equilibrium price and quantity will increase. uncertain.
b. Equilibrium price will increase but the effect on
equilibrium quantity is uncertain.
c. Equilibrium quantity will decrease but the effect on
equilibrium price is uncertain.
d. Equilibrium price will decrease but the effect on
equilibrium quantity is uncertain.
e. Equilibrium quantity will increase but the effect on
equilibrium price is uncertai
2. New safety regulations raise the cost of producing c. Equilibrium quantity will
peanut butter just as an almond butter craze sweeps decrease but the ettect on
the nation. What will happen to equilibrium price and equilibrium price is un-
quantity of peanut butter? certain
a. Equilibrium price and quantity will increase.
b. Equilibrium price will increase but the effect on
equilibrium quantity is uncertain.
c. Equilibrium quantity will decrease but the effect on
equilibrium price is uncertain
d. Equilibrium price will decrease but the effect on
equilibrium quantity is uncertain.
e. Equilibrium quantity will increase but the effect on
equilibrium price is uncertain.
3. American incomes rise (assume peanut butter is a a. Equilibrium price
and
normal good) while the price of bread (a complement) quantity will increase.
falls. What will happen to equilibrium price and quan-
tity of peanut butter?
, Clemson ECON 2110 Leganza Final Exam
2026 Practice Test
a. Equilibrium price and quantity will increase.
, Clemson ECON 2110 Leganza Final Exam
2026 Practice Test
b. Equilibrium price will increase but the effect on
equilibrium quantity is uncertain.
c. Equilibrium quantity will decrease but the effect on
equilibrium price is uncertain.
d. Equilibrium price will decrease but the effect on
equilibrium quantity is uncertain.
e. Equilibrium quantity will increase but the effect on
equilibrium price is uncertain.
4. Elections are underway, and Congressman Bob has b. increase the number of
promised that if he is elected, college will be people attending college.
tuition-free for everybody. Assuming nothing else
changes, if put into effect, this policy would
a. increase the demand for college education.
b. increase the number of people attending college.
c. Both a and b.
d. Neither a nor b.
5. Congressman Bob claims that because his plan will be c. Both a and b.
paid for by a special tax on billionaires, it will cost the
rest of us (the non-billionaires) nothing. What would
an economist say?
a. If billionaires kept the money, they might do some-
thing productive with it (being productive was proba-
bly how they became billionaires in the first place).
b. The money from the tax on billionaires could be
used to fund something else.
c. Both a and b.
d. Neither a nor b.; the congressman is correct.
6. Congressman Bob claims that because his plan will be b. the demand for college
paid for by a special tax on billionaires, it will cost the is inelastic.
, Clemson ECON 2110 Leganza Final Exam
2026 Practice Test
rest of us (the non-billionaires) nothing. Congressman
Bob's plan will be least expensive if
a. the demand for college is elastic.
b. the demand for college is inelastic.
c. the demand for college is less than the supply.
d. college education is an inferior good.
7. Which of the following would explain why the supply c. Opportunity cost rises
of cadium is less elastic than the supply of laudanum? more quickly along the ca-
a. There are closer substitutes for laudanum than for dium supply curve than
cadium. along the laudanum sup-
b. The equilibrium quantity of laudanum is higher ply curve.
than the equilibrium quantity of cadium.
c. Opportunity cost rises more quickly along the ca-
dium supply curve than along the laudanum supply
curve.
d. The supply of cadium is greater than the supply of
laudanum.
8. Using the supply-and-demand model, if I observe that e. Either a or b only.
the price of milk has fallen, I can conclude that
a. the demand for milk has fallen.
b. the supply of milk has risen.
c. the demand for milk is elastic.
d. Any one of the above.
e. Either a or b only.
9. You tell your sister that you've learned the Law of c. point out that one must
Demand in econ; that is to say, when the price of a hold all other potentially
good rises, people buy less of the good. Your sister relevant factors constant.
says, "That's baloney. My friend got a big raise at work
and now buys twice as much Russian caviar as she
2026 Practice Test
1. The price of peanuts (an input) falls while the price of d. Equilibrium price will
jelly (a complement) rises. What will happen to equi- decrease but the ettect
librium price and quantity of peanut butter? on equilibrium quantity is
a. Equilibrium price and quantity will increase. uncertain.
b. Equilibrium price will increase but the effect on
equilibrium quantity is uncertain.
c. Equilibrium quantity will decrease but the effect on
equilibrium price is uncertain.
d. Equilibrium price will decrease but the effect on
equilibrium quantity is uncertain.
e. Equilibrium quantity will increase but the effect on
equilibrium price is uncertai
2. New safety regulations raise the cost of producing c. Equilibrium quantity will
peanut butter just as an almond butter craze sweeps decrease but the ettect on
the nation. What will happen to equilibrium price and equilibrium price is un-
quantity of peanut butter? certain
a. Equilibrium price and quantity will increase.
b. Equilibrium price will increase but the effect on
equilibrium quantity is uncertain.
c. Equilibrium quantity will decrease but the effect on
equilibrium price is uncertain
d. Equilibrium price will decrease but the effect on
equilibrium quantity is uncertain.
e. Equilibrium quantity will increase but the effect on
equilibrium price is uncertain.
3. American incomes rise (assume peanut butter is a a. Equilibrium price
and
normal good) while the price of bread (a complement) quantity will increase.
falls. What will happen to equilibrium price and quan-
tity of peanut butter?
, Clemson ECON 2110 Leganza Final Exam
2026 Practice Test
a. Equilibrium price and quantity will increase.
, Clemson ECON 2110 Leganza Final Exam
2026 Practice Test
b. Equilibrium price will increase but the effect on
equilibrium quantity is uncertain.
c. Equilibrium quantity will decrease but the effect on
equilibrium price is uncertain.
d. Equilibrium price will decrease but the effect on
equilibrium quantity is uncertain.
e. Equilibrium quantity will increase but the effect on
equilibrium price is uncertain.
4. Elections are underway, and Congressman Bob has b. increase the number of
promised that if he is elected, college will be people attending college.
tuition-free for everybody. Assuming nothing else
changes, if put into effect, this policy would
a. increase the demand for college education.
b. increase the number of people attending college.
c. Both a and b.
d. Neither a nor b.
5. Congressman Bob claims that because his plan will be c. Both a and b.
paid for by a special tax on billionaires, it will cost the
rest of us (the non-billionaires) nothing. What would
an economist say?
a. If billionaires kept the money, they might do some-
thing productive with it (being productive was proba-
bly how they became billionaires in the first place).
b. The money from the tax on billionaires could be
used to fund something else.
c. Both a and b.
d. Neither a nor b.; the congressman is correct.
6. Congressman Bob claims that because his plan will be b. the demand for college
paid for by a special tax on billionaires, it will cost the is inelastic.
, Clemson ECON 2110 Leganza Final Exam
2026 Practice Test
rest of us (the non-billionaires) nothing. Congressman
Bob's plan will be least expensive if
a. the demand for college is elastic.
b. the demand for college is inelastic.
c. the demand for college is less than the supply.
d. college education is an inferior good.
7. Which of the following would explain why the supply c. Opportunity cost rises
of cadium is less elastic than the supply of laudanum? more quickly along the ca-
a. There are closer substitutes for laudanum than for dium supply curve than
cadium. along the laudanum sup-
b. The equilibrium quantity of laudanum is higher ply curve.
than the equilibrium quantity of cadium.
c. Opportunity cost rises more quickly along the ca-
dium supply curve than along the laudanum supply
curve.
d. The supply of cadium is greater than the supply of
laudanum.
8. Using the supply-and-demand model, if I observe that e. Either a or b only.
the price of milk has fallen, I can conclude that
a. the demand for milk has fallen.
b. the supply of milk has risen.
c. the demand for milk is elastic.
d. Any one of the above.
e. Either a or b only.
9. You tell your sister that you've learned the Law of c. point out that one must
Demand in econ; that is to say, when the price of a hold all other potentially
good rises, people buy less of the good. Your sister relevant factors constant.
says, "That's baloney. My friend got a big raise at work
and now buys twice as much Russian caviar as she
