Part 2. Demand and Supply



1. The supply of canned peaches at a given price will shift inwards when there is

A An advertising campaign for canned peaches

B A higher price for aluminium cans

C An increase in the demand for milk

D An increase in the demand for fresh fruit


2. If the supply curve for a good is positively sloped, a rise in the price of the good results in

A A rightward shift in the supply curve

B A decrease in the quantity supplied

C A leftward shift in the supply curve

D An increase in quantity supplied


3. A tax on producers of alcoholic lemonade (other factors remaining equal) would cause

A An outward shift of demand

B An inward shift of supply

C An outward shift of supply

D An inward shift of demand


4. Given a fall in real income caused by an economic recession, the demand curve for a normal good will, other things being equal,

A Shift to the left, hence lowering price

B Shift to the right, only if prices rise by less than real income

C Shift to the right, hence raising price

D Shift to the left, causing an inward shift of the supply curve


5. Which of the following would be expected to increase market demand for foreign holidays

A A fall in the value of the exchange rate

B A rise in mortgage interest rates

C A rise in consumers' income

D A fall in consumer confidence


6. What is an inferior good?

A A good that only low income families will contemplate buying

B A good that is advertised only on Channel 5

C A good of such poor quality that only Asda will stock it

D A good for which demand will fall as income rises


7. An improvement in technology lowers the cost of producing coffee. At the same time, consumers switch their preferences away from tea towards coffee. We would expect the quantity traded of coffee to

A Fall

B Rise

C Remain the same

D Rise or fall depending on whether the price of coffee rises or falls



8. Which of the following would cause the demand curve for a good to shift to the left?

A An increase in the supply of the good

B A decrease in the price of a substitute good

C A rise in the price of the good

D A decrease in the tax imposed by the government on the good


9. Consider the price and demand for flower vases. The price of freshly cut flowers goes up sharply. Which of the following would you expect to happen?

A There will be a movement along the demand curve for flower vases and price will go down

B The demand curve for flower vases will shift to the left and their price will fall

C The demand curve for flower vases will shift to the left and their price will rise

D The demand curve for flower vases to will shift to the right and their price will rise


10. A rise in the relative price of bus transport will lead to

A A fall in the demand for new cars

B An expansion of supply of new cars

C An expansion of new bus routes available for customers

D A fall in the demand for taxi services




答案是

BDBAC DBBBB