Question

An increase in the technology producing sub-orbital spacecraft will?

A). shift demand for spacecraft to the right

B). shift demand for spacecraft to the left

C). shift supply of spacecraft to the right

D). shift supply of spacecraft to the left

How does equilibrium price and quantity for sushi change when the cost of fish used in sushi increases?

A). Equilibrium price rises and equilibrium quantity falls

B). Equilibrium price rises and equilibrium quantity rises

C). Equilibrium price falls and equilibrium quantity falls

D). Equilibrium price falls and equilibrium quantity rises

If the wages of auto workers increase, what will happen to the equilibrium price and quantity of automobiles?

A). Price will increase; Quantity will increase

B). Price will increase; Quantity will decrease

C). Price will decrease; Quantity will increase

D). Price will decrease; Quantity will decrease

In 2012 a company sold 35,000 DVD players at $30 each. In 2013 the same company sold 40,000 DVD players at $25 each. The information suggests that:

A) The supply of DVD players shifted right from 2012 to 2013

B) The demand of DVD players shifted right from 2012 to 2013

C) Wages in the DVD industry fell from 2012 to 2013

D) From 2012 to 2013 the demand curve for DVD players was upward sloping because of improved technology

Suppose Congress passes a junk food tax (on manufacturers) to reduce childhood obesity. What will happen to the supply curve for junk food and its equilibrium price?

A). Shifts right; increases

B). Shifts right; decreases

C). Shifts left; increases

D). Shifts left; decreases

Answer 1

Ans) C) is the correct option. shift supply of spacecraft to the right. The increase in technology will decrease the cost of production so the supply for space craft will increase and the supply curve will shift to its right.

Ans) A) is the correct option. Equilibrium price rises and equilibrium quantity falls the cost of fish used in making sushi increased do it will increase the cost of production meaning less output will be produced the supply curve will shift to its left and the demand curve will remain the same. So equilibrium price increases and equilibrium quantity decreases.

Ans) C) is the correct option. Price will decrease; Quantity will increaseif the wages of auto workers would increase the supply of auto workers would increase.this would decrease the price and increase the quantity

Ans) A is the correct option. The supply of DVD players shifted right from 2012 to 2013.the price is decreased from 30 to 25 and quantity has increased from 35,000 to 40,000

Ans) C) is the correct option. Shifts left; increases. junk food tax on manufacturers will increase the cost of production as they now need to pay taxes so this will shift the supply curve to its left and the demand curve will remain the same this will increase the equilibrium price and decrease the equilibrium quantity