Foundations of Economics (8th Edition)
8th Edition
ISBN: 9780134486819
Author: Robin Bade, Michael Parkin
Publisher: PEARSON
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Question
Chapter 4, Problem 7MCQ
To determine
To explain:
The option that correctly identifies the effect on the market for used cars and on the market for hybrids.
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Students have asked these similar questions
Yousuf is going to market on 8.4.2021 with 10 OMR and he purchases 5 kilograms of the product which is 2 OMR per kilogram. When he went the next day with 20 OMR the price did not change and he purchased 10 kilograms of the product. The change in demand here discussed here is ________.
a.
Downward movement of supplier on the supply curve
b.
Upward movement of the supplier on the supply curve
c.
Rightward shift of the consumer on the demand curve
d.
Leftward shift of the consumer on the demand curve
The figure shows a market for oil.
Price ($/barrel)
72
64
56
48
40
D
80
84
88
92
Quantity (million barrels)
If the current price of oil is $44 per barrel, the quantity of oil demanded is
A million barrels, the quantity supplied is
A million
barrels, and the quantity bought is
AA million barrels. There is excess
(demand/supply)
A in the market, and the price is expected
to (rise/fall)
Price ($/cup)
4
3.5
3
2.5
2
1.5
1
0.5
0
0
10 20
Original Supply
A decrease in the price of coffee beans.
New Demand
Original Demand
30 40 50 60 70 80 90
Quantity (cups/hour)
New Supply
The figure above refers to the market for coffee. What might cause a shift from the original demand
curve to the new demand curve? Check all that apply.
An increase in the price of tea (a substitute for coffee).
A decrease in income if coffee is an inferior good.
An expectation that coffee prices will fall in the future.
A decrease in the price of cream (a complement to coffee)
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