A firm that makes profit in addition to normal profit is making ?
An upward shift in marginal cost ____ output and an upward shift in marginal revenue ______ output?
Marginal revenue is the when output is __________?
Firms are assumed to __ costs and to ________ profits?
The extra utility from consuming one more unit of a good is called ?
The opportunity cost of a student is__________?
If your income doubles and the prices of the goods you buy double then your demand for these goods will likely?
A measurement showing how quantity demanded varies with income is the ?
The price elasticity of demand measures ?
Increased level consumption ?
Improved training of employees would ?
Which of the following would increase aggregate demand ?
Aggregate demand will increase if ?
The price elasticity of supply is +4 The price increases by 15% sales were originally 200 units What will they be now ?
An increase in productivity should ?
An increase in the costs of production will ?
A supply curve that starts at the origin has ?
If a 4% increase in price leads to a increase in the quantity supplied of 8% ?
For a normal good ?
if demand is price inelastic ?
The price elasticity of demand is a negative number this means ?
If the cross elasticity of demand is -2 ?
The price decrease from Rs 2,000 to Rs 1,800 Quantity demanded per year increases 5000 to 6000 units. Which of the following is correct ?
If a product is an inferior good ?
An increase in price all other things unchanged leads to ?
According to the law of diminishing utility ?
A fall in price ?
When the market operates without interference, price increases will distribute what is available to those who are willing and able to pay the most. This process is known as ?
If the cross-price elasticity of demand between two goods is negative, then the two goods are ?
The price of burgers increase by 22% and the quantity of burgers demanded falls by 25% This indicates that demand for burgers is ?
The price of apples falls by 5% and quantity demanded increases by 6% This means that demand is ?
A movement along the demand curve to the left may be caused by ?
An increase in aggregate demand if aggregate supply is totally inelastic will ?
When excess demand occurs in an unregulated market, there is a tendency for ?
Which of the following is consistent with the law of supply ?
If the demand for coffee decreases as income decreases, coffee is ?
When the decrease in the price of one good causes the demand for another good to decrease, the goods are_________?
The quantity demanded of Pepsi has decreased. The best explanation for this is that ?
The Setrite Corporation produce chairs. An economist working for the firm predicts that if people’s incomes rise next year, then the demand for our chairs will for our chairs will increase ceteris paribus The accuracy of the economist’s prediction depends on whether the chairs Setrite Produce ?
If both marginal cost and marginal revenue increase, a firm ?
A firm that breaks even after all economic costs are paid is earning ?
If a firm wage costs increase this will cause and __________?
Profits are maximized when ?
The increase in total cost when one more unit is produced is known as ?
Adding up the quantities demanded of a good by different people facing the same price gives us the ?
Economics assumes that people consume goods and services to achieve ?
The income effect of a price increase of a normal good is to _ of that good and the substitution effect is to _________ of that good?
Inferior goods have _ and luxury goods have _________?
Positive cross elasticities suggest that goods are ____ and negative cross-elasticities that goods are ?
If demand is _ then price cuts will _________ spending?
Increased levels of spending on imports ?

An increase in income should ?

A. Shift demand for an inferior product outward
B. shift demand for an inferior product inward
C. shift supply for an inferior product outward
D. Shift supply for an inferior product inward

Correct Answer: shift demand for an inferior product inward ✔

Last Updated: June 18, 2019