ECN 2110 Week 2 Quiz | Assignment Help | Baker College
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- 18 Mar 2021
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ECN 2110 Week 2 Quiz | Assignment Help | Baker College
Module 2 Quiz
Question 1
The “law of supply”
functions in labor markets; that is, a higher ___________ for labor leads to a
higher quantity of labor supplied.
o
price
o
demand
o
supply
o
quantity
Question 2
If the demand for
software engineers ____________ slower than does supply, then wages of software
engineers will
o
increases; remain constant
o
increases, rise
o
increases; fall
o
decreases; fall
Question 3
Many economists believe
that the trend toward greater wage inequality across the U.S. economy was
primarily caused by ___________________.
o
the recession
o
new technologies
o
the rise of global markets
o
inflation
Question 4
The imposition of a
price ceiling on a market often, but not always results in:
o
an increase in investment in the
industry.
o
a surplus
o
a shortage
o
a decrease in discrimination on the part
of sellers.
Question 5
Table 5-1
Refer to Table 5-1. If
D2 and S2 represent the demand and supply schedules in a particular market,
then the equilibrium price and quantity are ________ and _________,
respectively.
Price D1 D2 S1 S2
$12 5 9 19 14
$10 8 12 17 12
$8 11 15 15 10
$6 13 18 13 8
$4 16 21 11 6
$2 18 24 9 4
o
$12; 12
o
$10; 12
o
$8; 15
o
$6; 18
Question 6
The price elasticity of
demand measures the:
o
responsiveness of quantity demanded to a
change in quantity supplied.
o
responsiveness of price to a change in
quantity demanded.
o
responsiveness of quantity demanded to a
change in price.
o
responsiveness of quantity demanded to a
change in income.
Question 7
Billy Bob's Barber Shop
knows that a 5 percent increase in the price of their haircuts results in a 15
percent decrease in the number of haircuts purchased. What is the elasticity of demand facing Billy
Bob's Barber Shop?
o
0.15
o
3.0
o
0.10
o
0.05
Question 8
Refer to Figure 5-1.
With reference to Graph A, at a price of $10, total revenue equals:
o
$1000
o
$500
o
$400
o
$200
Question 9
A 25 percent decrease
in the price of breakfast cereal leads to a 20 percent increase in the quantity
of cereal demanded. As a result:
o
total revenue will decrease.
o
total revenue will increase.
o
total revenue will remain constant.
o
the elasticity of demand will increase.
Question 10
Supply is said to be
____________ when the quantity supplied is very responsive to changes in price.
o
independent
o
inelastic
o
inelastic
o
elastic
Module 2 Quiz
Question 1
The “law of supply”
functions in labor markets; that is, a higher ___________ for labor leads to a
higher quantity of labor supplied.
o
price
o
demand
o
supply
o
quantity
Question 2
If the demand for
software engineers ____________ slower than does supply, then wages of software
engineers will
o
increases; remain constant
o
increases, rise
o
increases; fall
o
decreases; fall
Question 3
Many economists believe
that the trend toward greater wage inequality across the U.S. economy was
primarily caused by ___________________.
o
the recession
o
new technologies
o
the rise of global markets
o
inflation
Question 4
The imposition of a
price ceiling on a market often, but not always results in:
o
an increase in investment in the
industry.
o
a surplus
o
a shortage
o
a decrease in discrimination on the part
of sellers.
Question 5
Table 5-1
Refer to Table 5-1. If
D2 and S2 represent the demand and supply schedules in a particular market,
then the equilibrium price and quantity are ________ and _________,
respectively.
Price D1 D2 S1 S2
$12 5 9 19 14
$10 8 12 17 12
$8 11 15 15 10
$6 13 18 13 8
$4 16 21 11 6
$2 18 24 9 4
o
$12; 12
o
$10; 12
o
$8; 15
o
$6; 18
Question 6
The price elasticity of
demand measures the:
o
responsiveness of quantity demanded to a
change in quantity supplied.
o
responsiveness of price to a change in
quantity demanded.
o
responsiveness of quantity demanded to a
change in price.
o
responsiveness of quantity demanded to a
change in income.
Question 7
Billy Bob's Barber Shop
knows that a 5 percent increase in the price of their haircuts results in a 15
percent decrease in the number of haircuts purchased. What is the elasticity of demand facing Billy
Bob's Barber Shop?
o
0.15
o
3.0
o
0.10
o
0.05
Question 8
Refer to Figure 5-1.
With reference to Graph A, at a price of $10, total revenue equals:
o
$1000
o
$500
o
$400
o
$200
Question 9
A 25 percent decrease
in the price of breakfast cereal leads to a 20 percent increase in the quantity
of cereal demanded. As a result:
o
total revenue will decrease.
o
total revenue will increase.
o
total revenue will remain constant.
o
the elasticity of demand will increase.
Question 10
Supply is said to be
____________ when the quantity supplied is very responsive to changes in price.
o
independent
o
inelastic
o
inelastic
o
elastic
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