Economists refer to the relationship that a higher price leads to a lower quantity demanded as the ____.

The term ceteris paribus means that:

a. What is for the individual is not necessarily true for the whole.

b. All variables except those specified are constant.

c. Everything is variable.

d. No one knows which variables will change and which will remain constant.

Should supply curves slope upward or downward? Why ?

What does ceteris paribus mean?

How does the ceteris paribus assumption affect a demand curve?

Complete the statement: When quantity demanded decreases in response to a change in price _________________.

A demand curve or supply curve is based on the assumption of ceteris paribus, which means?

The slope of the _________________ is determined by the relative price of the two goods, which is calculated by taking the price of one good and dividing it by the price of the other good.

A. personal preference

B. utility level

C. budget constraint

D. opportunity set

Finish the following sentence.

An unexpected freeze in central Florida reduced the citrus crop and caused the price of oranges to ________________.

Gomer decides to spend an hour playing basketball rather than studying. His opportunity cost is:

A.) nothing, because he enjoys playing basketball more than studying.

B.) the increase in skill he obtains from playing basketball for that hour.

C.) the benefit to his grades from studying for an hour.

D.) nothing, because he had a free pass into the sports complex to play basketball.

Suppose a freeze in Florida destroys part of the Florida orange crop.

Explain what happens to the price of oranges and the marginal product of orange pickers as a result of the freeze. Can you say what happens to the demand for orange pickers? Why or why not?

A severe freeze has once again damaged the Florida orange crop. The impact on the market for orange juice will be a leftward shift of:

a. The supply curve and the rightward shift of the demand curve resulting in a higher equilibrium price

b. Both the supply and demand curves

c. The supply curve

d. The demand curve, as consumers try to economize because the shortage

The ___________ is the only price where quantity demanded is equal to quantity supplied.

The demand schedule for a good:

a. indicates the quantity that people will buy at the prevailing price

b. indicates the quantity that suppliers will sell at various market prices

c. is determined primarily by the cost of producing the good

d. indicates the quantities that will be produced at the alternative market process