ECO 204 Week 1 Quiz

(1) In economics, scarcity means that

(2) If beans are inferior goods, a decrease in income will

(3) Which of the following is a macroeconomic issue?

(4) In Collegia, a small college town, the market for parking spaces is in equilibrium at a going price of $5 a day. There are 1,500 spaces and they are all sold every day with no unsatisfied buyers. Now the college takes in 200 more students, each of whom also wants a parking space at $5 a day. If there is a normal, upward-sloping supply curve, what will happen when the market has time to adjust?

(5) Demand for a good will always rise when

(6) In what type of economic system are the basic economic questions answered in the same way as in the past?

(7) All but which one of the following could shift the demand curve?

(8) When price changes, there is an opposite change in the

(9) What will cause a change along the supply curve?

(10) The Wall Street Journal carried a story on a type of grocery store that operates with few services and limited use of attractive displays, but with lower prices than its competitors. This decision of the owners is a way of answering a question that every society must face. Which of the following is that question?