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Distinguish Between Factors That Cause Shift In Demand And Supply Curves - SS2 Economics Past Questions and Answers - page 1

1

Which of the following factors can cause a shift in the demand curve?

A

A change in the price of a substitute good

B

A change in the price of the product

 

C

A change in consumer income

D

A change in production costs

correct option: c
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2

Which of the following factors can cause a movement along the supply curve?

A

A change in technology

 

B

A change in the number of producers

C

A change in input prices

D

A change in the price of the product

correct option: d
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3

An increase in the elderly population can lead to an increase in the demand for which of the following?

A

Healthcare services

B

Fast food

 

C

Luxury goods

D

Alcoholic beverages

correct option: a
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4

Which of the following is an example of a government policy that can affect the demand for a product?

A

A change in technology

B

A change in consumer preferences

C

A tax on cigarettes

D

A change in the price of a substitute good

 

correct option: c
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5

A change in production costs can cause a movement along which of the following curves?

A

Demand curve

B

Supply curve

C

Both demand and supply curves

D

None of the above

correct option: b
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6

Which of the following factors can cause a decrease in the demand for a normal good?

A

An increase in consumer income

B

A decrease in the price of a complementary good

C

A change in consumer preferences

D

An increase in the price of the product

correct option: d
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7

Define a shift in the demand curve.

A shift in the demand curve occurs when there is a change in any non-price determinant of demand, resulting in a new quantity demanded at each price.

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8

What causes a movement along the supply curve?

A change in price or production cost causes a movement along the supply curve, as the quantity supplied changes.

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