The movement along a given demand curve is the same as a shift in the demand curve. True or...
Question:
The movement along a given demand curve is the same as a shift in the demand curve. True or False. Explain.
Demand:
The demand for a product is a result of desirability for the commodity and affordability for the same. Demand for a commodity is determined by several factors, especially price. Some other factors that influence demand also include quality of the product, speculation about future prices, the income of the consumer, and the price of other products (either complementary goods or substitutes.
Answer and Explanation: 1
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View this answerDemand is plotted on a price vs quantity graph as indicated below
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The response of change in demand to change in price will be shown by movement...
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The Market Demand Curve: Definition, Equation & Examples
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Chapter 7 / Lesson 11
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Learn about the market demand curve definition. Find out about the importance of a market demand schedule and how to plot market demand on a graph.
Related to this Question
- Answer true or false and explain: The movement along a given demand curve is the same as a shift in the demand curve.
- A change in quantity demanded is a movement along the same demand curve. (a) True (b) False.
- Following a rightward shift a demand curve, demand will be less elastic at any given price. True False Explain.
- True or false? An increase in demand is represented by a movement up the demand curve.
- A change in price can cause a shift of the demand curve. True or false?
- True or false? An increase in demand shifts the demand curve to the right, increasing the equilibrium price.
- True or false? An increase in price will cause the demand curve to shift down and to the left.
- The long-run aggregate demand curve can never shift. True False
- a) The Market Demand Curve is the same an Individual Demand Curve? True or False. Discuss b) Does the market demand curve always slope downward to the right? If your answer is yes, discuss. If your an
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- True or false? A rightward shift in the supply curve, assuming no change in the demand curve, will increase the price and decrease the quantity demanded.
- A price ceiling will cause a shift in the demand curve for the good. True False
- True or false? A shift in the demand curve occurs when consumers want to buy more at a given price.
- True or false? A change in expectations could shift either the demand curve or the supply curve.
- True or False: A "change in quantity demanded" is a shift of the entire demand curve to the right or the left.
- The price floor shifts the demand curve to the left. True False
- True or false? A change in the price of inputs could shift either the demand curve or the supply curve.
- An increase in the price level shifts the aggregate demand curve to the left. True False
- When the demand curve shifts, the change in equilibrium price will be smaller the closer the price elasticity of supply is to 0. True False
- The line on a demand curve usually moves upward and to the left. a) True b) False
- TRUE or FALSE: An increase in supply will cause a decrease in price, which will cause the demand curve to shift.
- True or false? An increase in the price of a good will shift the demand curve for the good.
- A shift in aggregate demand will change the equilibrium price level. a. True. b. False.
- Answer true or false: An increase in demand is reflected as a rightward (outward) shift of the demand curve and is caused by an increase in price.
- True or false? An increase in the price level shifts the aggregate demand curve to the left.
- The long-run aggregate supply curve can never shift. True False Explain.
- Moving along the inelastic portion of a demand curve the change in quantity demanded will always be proportionately less then the change in price. True or false?
- Movement along the demand and supply curves is referred to as "a change in demand and supply," while a shift in the demand and supply curves is referred to as "a change in quantity demanded and supplied." O True O False
- An increase in price will cause a supply curve to shift to the left. True or false?
- True or false? When both the supply and demand curves shift, the curve that shifts by the larger magnitude determines the effect on the undetermined equilibrium object.
- True or false? A decrease in the price of a complementary good will shift the demand curve for a good.
- Is the following statement true or false? Explain your answer. The elasticity of demand is the same as the slope of the demand curve.
- The flatter the demand curve passing through a given point, the less elastic the demand curve at that point. a. True b. False
- If the demand curve is a linear function of price, then the price elasticity of demand is the same at all prices. a. True. b. False.
- True or false? An increase in supply is represented by a movement up the supply curve.
- True or false? A demand curve that is flatter (has a less steep slope) is relatively more elastic than a demand curve that has a steeper slope.
- True or false? Along a single demand curve, demand elasticity decreases as you move down the curve (to lower prices).
- A decline in aggregate demand is analogous to an upward movement along the short-run Phillips curve. a. True. b. False.
- True or false? The elasticity of demand is constant along a linear demand curve.
- True or false? Perfectly inelastic demand occurs when the demand curve is horizontal.
- An increase in demand will cause the equilibrium price and quantity to rise. A) True B) False
- True or false? If the demand curve for a good is a steep, straight line, then the demand for the good is inelastic at every point along that demand curve.
- The market demand curve is simply the horizontal sum of the individual demand curves. a. True. b. False.
- True or False: In economics, leftward shift of a supply curve represents a decrease in supply.
- Because individual demand curves slope down, the aggregate demand curve slopes up. a. True. b. False.
- True or False: If demand shifts to the left, given supply, then the equilibrium price and the equilibrium quantity will fall.
- True or False: "When the demand curve and the supply curve shift in the direction previously indicated, the effect on the equilibrium price is clear even without knowing the magnitude of the shifts."
- True or False: The flatter the demand curve passing through a given point, the less elastic the demand curve at that point.
- If the market demand curve for a good is a downward-sloping line, its price elasticity is constant. a. True. b. False.
- When demand is perfectly inelastic with respect to price, the demand curve is horizontal. True or false?
- The long-run aggregate supply curve can never shift. True or false?
- State whether true or false. An increase in real consumer income will shift both the supply and demand curves.
- Perfectly inelastic demand occurs when the demand curve is vertical. True False
- If money demand does not depend on income, the LM curve is horizontal. True False Explain.
- A leftward shift in the labor demand curve would occur if fewer people wanted to work at any given wage. Is the statement true or false?
- The value of the price elasticity of demand is equal to the slope of the demand curve. True or false?
- 1. In a free market equilibrium, demand equals supply at the equilibrium price. A. True B. False 2. If a tax is imposed on sellers of a product the demand curve will: A. shift upward. B. shift do
- True or false? Demand curves of individuals obey the law of demand but market demand curves do not.
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- Does a demand curve always have a negative slope? What are four reasons why this is true or false?
- If demand for X shifts right as the price of good Y falls, then X and Y are complements. a. true b. false
- The aggregate demand curve is the sum of individual demand curves in the economy. (a) true (b) false
- True or false? An increase in demand without any changes in supply will cause the price to rise.
- True or False. When the number of buyers in a market changes, the market demand curve for goods and services also changes, even if individual demand curves do not shift.
- Excess demand in a market economy would force prices down. True False
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- Answer true or false: If market demand increases and market supply decreases, the change in equilibrium price is unpredictable without first knowing the exact magnitudes of the demand and supply changes.
- If money demand does not depend on the interest rate, the IS curve is horizontal. True False Explain.
- True or false? An oligopolist does not face a downward-sloping demand curve.
- True or false? If demand decreases and supply increases, the equilibrium price will fall and the quantity will rise.
- An increase in demand causes an increase in the equilibrium price. The increase in equilibrium price will then cause an increase in supply. True or false.
- True or False: In an increasing cost industry, the long-run equilibrium price is unchanged after an increase or decrease in market demand.
- Consumer surplus is the area above the demand curve and below the equilibrium price. True or False.
- If supply of a good increases while its demand decreases, then equilibrium price will fall. a) True b) False
- True or False: If labor and capital are complements in production, then the long-run labor demand curve is less elastic than the short-run labor demand curve. Explain your answer.
- In a market that starts out in equilibrium, if supply were to increase at the same time that demand were to decrease, the equilibrium price is expected to fall. a. True b. False
- A perfectly inelastic demand curve is a horizontal straight line. a. True. b. False.
- A decrease in the currency exchange rate would shift the aggregate demand curve rightward, resulting in a higher equilibrium income and price level in the long run. a. True b. False
- True or false? If demand increases and supply increases, the equilibrium price will rise and the quantity will rise.
- The market demand curve is determined by adding the individual demand curves in a vertical direction. True or False?
- True or false? A monopolistic firm's demand curve is less elastic than a purely competitive firm's demand curve.
- True or false? If demand is downward sloping, then individuals do not respond to price changes.
- True or false? A monopolistic firm's demand curve is always inelastic.
- True or false? A pure monopolistic demand curve is the industry demand curve.
- State true or false and justify your answer: Not only do changes in demand induce relatively wide fluctuations in price when supply is inelastic, but changes in supply induce relatively wide fluctuations in price when demand is inelastic.
- The demand curve in a perfectly competitive market is perfectly elastic. TRUE or FALSE.
- True or false? The aggregate demand curve is the sum of individual demand curves in the economy.
- Answer true or false: When there is a decrease in both supply and demand, the effect on the equilibrium price is indeterminate(or ambiguous).
- Because supply curves are upward sloping, a decrease in price would never be seen at the same time as an increase in the quantity. True or false? Why?
- State true or false and justify your answer: Demand curves slope upward from left to right.
- Cost-push inflation can be described as a rightward shift of the aggregate supply curve. True or false?
- True or false? The value of the price elasticity of demand is not equal to the slope of the demand curve.
- True or False: 1. A shift in supply causes the price of a good to fall. The shift must have been an increase in supply. 2. If demand increases and supply increases at the same time, price will clear
- True or false? An increase in supply without any changes in demand will cause the price to rise.
- True or False: A decrease in the currency exchange rate would shift the aggregate demand curve rightward, resulting in a higher equilibrium income and price level in the long-run.
- The long-run aggregate supply curve shifts to the right when productivity permanently increases. a. True b. False
- True or false? An increase in supply, with no change in demand, will decrease the equilibrium price and the equilibrium quantity.
- Answer true or false: The law of supply indicates that an increase in price will cause an increase in supply which is reflected graphically as a rightward shift of the supply curve.
- The marginal rate of substitution increases as the consumer moves from left to right along a given indifference curve. True or false?
- State true or false and justify your answer: If the demand for a good shifts out (increases), then the labor demand of a monopsonist will increase.
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