2026 - ECS1500 - ASSESSMENT 2 - QUESTIONS AND ANSWERS

2025 – ECS1500 – ASSESSMENT 2 – Q&A


QUIZ

Assessment 2
Started on Monday, 28 April 2025,
State Finished
Completed Monday, 28 April 2025,
on
Time taken
Marks 40.00/40.00
Grade 100.00 out of 100.00


Question 1
The question is based on the following figure.




Which one of the following is correct?

[1] A movement from point A to point B is an example of an increase in demand.

[2] A movement from point A to point B is an example of an increase in quantity
demanded.

[3] A movement from point C to point D is an example of an increase in demand.



1

, 2025 – ECS1500 – ASSESSMENT 2 – Q&A


[4] A movement from point C to point D is an example of an increase in quantity
demanded.

Select one:
a.
only 1 and 4 are correct

b.
only 2 and 4 are correct

c.
only 2 and 3 are correct

d.
only 1 and 3 are correct

Feedback
Your answer is correct.

The movement from A to B is due to a shift of the demand curve from D to D'. As
explained in section 3.2.2 a change in demand due to any other reason except price,
is illustrated by a shift of the demand curve, and referred to a change in demand.
Therefore alternative [1] is correct and alternative [2] is incorrect.

However, as explained in the same section, any change in the price of a product will
cause a movement along the demand curve to the new price level. This is referred to
as a change in the quantity demanded. Therefore the movement from point C to
point D is referred to as a change in the quantity demanded. Option [3] is therefore
incorrect and option [4] is correct.


The correct answer is: only 1 and 4 are correct


Question 2
If an increase in the price of dresses leads to a decrease in the demand for scarfs,
then dresses and scarfs are ……..

Select one:
a.
substitutes.

2