1. if consumers bought the exact same amount of a product when it's price rises or falls, the price elasticity of demand is said to be select one: a. perfectly inelastic b. elastic c. relatively inelastic d. perfectly elastic 2. if there were an increase in demand for a product and no change in supply, you would expect: select one: a. an increase in equilbrium price and a decrease in equilibrium quantity b. a decrease in equilibrium price and an increase in equilibrium quantity c. a decrease in equilibrium price and equilibrium quantity d. an increase in the equilbrium price and equilbrium quantity 3. a surplus of a product in a market indicates that the quantity demanded select one: a. is less than the quantity supplied b. is greater than the quantity supplied c. is equal to the quantity supplied d. price is below the equilibrium price 4. which of the following would cause an increase in supply of a particular product? select one: a. the popularity of the product increases b. the cost of producing the product increases c. the government grants a subsidy to the producer d. the product's price increases 5. which of the following would cause an increase in supply of a particular product? select one: a. the popularity of the product increases b. the cost of producing the product increases c. the government grants a subsidy to the producer d. the product's price increases 6. a supply curve slopes upwards because: i. higher prices mean greater profits for a producer ii. eventually costs rise as production increases iii. consumers find goods more valuable at higher prices select one: a. both i and ii b. i, ii, and iii c. i only d. ii only 7. the law of demand states that: select one: a. consumers buy more of a product when the price is higher b. the quantity demanded of a product will decrease when the product's price increases c. the demand curve for a product will shift to the left when demand increases d. there is a direct relationship between a product's price and the quantity demanded 8. if there were a decrease in the cost or producing a good, you would expect the market equilbrium price select one: a. to decrease and equilbrium quantity to increase b. and equilibrium quantity to increase c. and equlibrium quantity to decrease d. to increase and the equilibrium quantity to decrease 9. the demand for chicken increases as a result of higher beef prices. this indicates that select one: a. chicken and beef are substitutes b. chicken and beef are complements c. chicken and beef are normal goods d. chicken and beef are inferior goods 10. the demand curve for a product would shift to the left if: select one: a. the number of sellers in the market decreased b. the number of buyers in the market increased c. the popularity of the product decreased d. the price of the product decreased