Reflection Assignment #1
Demand and Supply
Find an article in a magazine or newspaper of your choice relating to either:
price changes of a product that you can explain using shifts in supply and
shortfalls or surp
Exercise Simultaneous Changes in Supply and Demand
Predict the changes in equilibrium price and quantity in the following scenarios:
1. Rental apartments The government introduces a subsidy for both apartment owners
2. Cars The city makes it
Monopoly and Perfect Competition
Initially a firm operates in a perfectly competitive market. Information for the firm is given below.
Complete the cost table for the firm and calculate the breakeven and shutdown points
for the individual firm
Changes in Supply (Shifts in the Supply Curve)
Determine change in the supply curve for each of the following:
1. The change in the supply of cars after the union negotiates a 4% wage increase.
2. The change in the supply of soybeans after the government
All else being equal, the elasticity of a good tends to be higher:
a. The more substitutes there are for the good.
b. The fewer substitutes there are for the good.
c. The shorter the time period between a price change and the purch
Econ 1002 Sample Short Answer Test Questions
1. The table below shows the production possibilities for the production of capital goods
and consumer goods in the country of Harmony.
ECON-1002 Test 3
PRACTICE SHORT QUESTIONS
1) According to the Australian Wool Innovation, severe drought conditions in Australia
contributed to the lowest level of wool production in 50 years. This record low production
has driven up prices sharply in Aus
Changes in Demand (Shifts in the Demand Curve)
Determine the change in the demand curve for each of the following:
1. A large increase in incomes on the demand for vacation cruises.
2. A large increase in income on the demand for city bus transportation.
Economics Test Review 2
Tips: Use the review slides, look at the practice questions, do short answer first in exam
Labour Force- the sum of employed and unemployed workers in the economy. Those
who are working or actively looking for work (4 weeks).