22. which of the following are examples of substitutes? (ssemi3a)\na butter & margarine\nb flashlight &…

22. which of the following are examples of substitutes? (ssemi3a)\na butter & margarine\nb flashlight & batteries\nc peanut butter & jelly\nd cameras & film\n23. what is the shape of the demand curve? (ssemi2a)\na upward sloping\nb downward sloping\nc positively sloped\nd irregular\n24. identify the term that refers to the following economic principle: “the more units of an economic product acquires, the less eager that person is to buy still more”.\na law of demand\nb substitution effect\nc law of supply\nd diminishing marginal utility\n25. an inelastic good is away considered what type?\na a want\nb changes with price\nc a need\nd is not needed for survival\n26. how are market prices set?\na by the government\nb interaction of producers and sellers\nc interaction of consumers and buyers\nd interaction of producers and consumers\n27. if a company has a surplus of their product. what will they need to do in order to reach equilibrium? (ssemi2b)\na lower the product’s price\nb raises the product’s price\nc produces more of the product\nd add a tariff to the product\n28. which of the following will not δ change (shift) the market supply curve? (ssemi3a)\na δ in the cost of labor\nb δ change in the demand for the product\nc δ government regulations\nd δ number of sellers offering the product\n29. the cost of tomato sauce incurred by producing additional pizzas is called\na total cost\nb variable cost\nc marginal cost\nd fixed cost\nuse the graph for 30 - 36\ndemand and supply curves for movie videos\n30. what is the price at equilibrium? (ssemi2c)\na $600\nb $20\nc $14\nd $10

22. which of the following are examples of substitutes? (ssemi3a)\na butter & margarine\nb flashlight & batteries\nc peanut butter & jelly\nd cameras & film\n23. what is the shape of the demand curve? (ssemi2a)\na upward sloping\nb downward sloping\nc positively sloped\nd irregular\n24. identify the term that refers to the following economic principle: “the more units of an economic product acquires, the less eager that person is to buy still more”.\na law of demand\nb substitution effect\nc law of supply\nd diminishing marginal utility\n25. an inelastic good is away considered what type?\na a want\nb changes with price\nc a need\nd is not needed for survival\n26. how are market prices set?\na by the government\nb interaction of producers and sellers\nc interaction of consumers and buyers\nd interaction of producers and consumers\n27. if a company has a surplus of their product. what will they need to do in order to reach equilibrium? (ssemi2b)\na lower the product’s price\nb raises the product’s price\nc produces more of the product\nd add a tariff to the product\n28. which of the following will not δ change (shift) the market supply curve? (ssemi3a)\na δ in the cost of labor\nb δ change in the demand for the product\nc δ government regulations\nd δ number of sellers offering the product\n29. the cost of tomato sauce incurred by producing additional pizzas is called\na total cost\nb variable cost\nc marginal cost\nd fixed cost\nuse the graph for 30 - 36\ndemand and supply curves for movie videos\n30. what is the price at equilibrium? (ssemi2c)\na $600\nb $20\nc $14\nd $10

Answer

Brief Explanations:

  • 22: Substitutes are goods that can be used in place of each other. Butter and margarine serve similar purposes in cooking and baking, so they are substitutes.
  • 23: The demand curve is downward - sloping, indicating an inverse relationship between price and quantity demanded.
  • 24: The law of diminishing marginal utility states that as a person acquires more units of a good, the additional satisfaction (marginal utility) from each additional unit decreases.
  • 25: Inelastic goods are often considered necessities or needs as consumers are less responsive to price changes for these goods.
  • 26: Market prices are set by the interaction of producers (supply) and consumers (demand).
  • 27: When there is a surplus, the quantity supplied exceeds the quantity demanded. To reach equilibrium, the company needs to lower the price to increase the quantity demanded.
  • 28: A change in the demand for the product will shift the demand curve, not the supply curve. Changes in labor cost, government regulations, and number of sellers affect the supply curve.
  • 29: The cost of an additional unit of output (like the cost of tomato sauce for an additional pizza) is called the marginal cost.
  • 30: The equilibrium price is where the demand and supply curves intersect. From the graph, this is at a price of $14.

Answer:

  1. A. Butter & margarine
  2. B. Downward sloping
  3. D. Diminishing Marginal Utility
  4. C. A need
  5. D. Interaction of producers and consumers
  6. A. lower the product’s price
  7. B. Δ change in the demand for the product
  8. C. Marginal cost
  9. C. $14