1. In accordance with the law of supply, if the price doubled, the quantity supplied would generally ______.
A. rise B. Fall C. Double D. drop by half
2. Annual total production in the United States is ____________.
A. less than $1 trillion B. between $1 and $2 trillion C. between $3 and $4 trillion D. more than $10 trillion
3. According to the total revenue rule, if the coefficient of price elasticity of demand is less than 1 and if price goes ____________.
A. up, total revenue stays the same B. down, total revenue goes up C. down, total revenue goes down D. up, total revenue goes down
4. A shift in the supply curve for gasoline in the United States would result if _______.
A. people decided to travel more by automobile B. the OPEC nations decided to stop sales of crude oil to the United States C. the price of gasoline increased D. the price of gasoline decreased
5. True or False- A typical demand schedule shows higher sales at lower prices.
6. True or False- The measure of elasticity will be the same at any place along a given straight-line, slanted demand curve.
7. If a price ceiling of $3 is imposed on gasoline and the market price is $2, _______.
A. the price of gasoline will rise B. the price of gasoline will fall C. the price of gasoline will remain unchanged D. the demand for gasoline will increase
8. True or False - If the coefficient of elasticity for a commodity is 1.5 and the price of that commodity is raised, total revenue will decrease.
9. The stronger that consumer demand is for a good or service, other things being equal ____________.
A. the higher its price B. the lower its price C. the more stable its price D. the less stable its price
10. True or False - In the United States, marketing cooperatives are most commonly found in the agriculture industry.
11. The relationship between the market system and private property is ______________.
A. as the market system expands, private property declines in that society B. private property rights interfere with the operation of the market system C. the market system functions best when the rights of private property are protected D. none of the above