Problem 1: Which of the following is consistent with the law of supply? Check all that apply.
a. As the price of calculations rise, the quantity supplied of calculators increases, ceteris paribus.
b. As the price of calculators rise, the quantity supplied of calculators decrease, ceteris paribus.
c. As the price of calculators falls, the supply of calculators increases, ceteris paribus.
d. As the price of calculators rise, the supply of calculators increases, ceteris paribus.
Problem 2: The principle that suppliers will normally offer more for sale at high prices and less at lower prices is
a. Supply elasticity
b. Quantity supplied
c. Law of supply
d. Supply schedule
Problem 3: What does a supply schedule illustrate?
Problem 4: What are some examples of goods with a vertical supply curve?
Problem 5: Explain why are three goods that are vertical supply curve?
Problem 6: True or False The law of supply curve illustrates a very important relationship: as prices increases, quantity supplied decrease.
Based on the following supply schedule
|
Price Per Video Game
|
Quantity Supplied
|
|
$50
|
60
|
|
$40
|
50
|
|
$30
|
40
|
|
$20
|
30
|
|
$10
|
20
|
|
$5
|
10
|
Problem 7: Draw the above supply graphically.
Problem 8: What does the above supply curve illustrate?
Problem 9: As the price of a product rises, producers will be willing to
Problem 10: A graph showing the various quantities of a product that a single producer supplies at each and every price in the market is a ______.
a. Supply schedule
b. Supply curve
c. Change in supply
d. Supply elasticity