ECO 365T MIDTERM QUIZ – QUESTION
AND ANSWERS
1. A shift in the demand curve occurs when ____________.
a. suppliers place more goods on the market
b. the price of a commodity rises
c. consumers want to buy more than before at a given price
d. the price of a commodity falls
2. If a 5% decrease in the price of a long-distance phone call leads to a 25% increase in the
number of calls made, we can then conclude that the demand for long-distance phone calls at the
current rate is __________________.
a. elastic
b. inelastic
c. unitarily elastic
d. cannot be determined on the basis of the data given
AND ANSWERS
1. A shift in the demand curve occurs when ____________.
a. suppliers place more goods on the market
b. the price of a commodity rises
c. consumers want to buy more than before at a given price
d. the price of a commodity falls
2. If a 5% decrease in the price of a long-distance phone call leads to a 25% increase in the
number of calls made, we can then conclude that the demand for long-distance phone calls at the
current rate is __________________.
a. elastic
b. inelastic
c. unitarily elastic
d. cannot be determined on the basis of the data given
