Practise defining effective demand, aggregating individual curves and distinguishing movements from shifts when income, related prices, costs, technology or policy changes.
A change in which factor will be least likely to alter a consumer's ability to pay for a product?
a consumer's income
a consumer's tastes
a change in the price of the product
a fall in the tax on goods and services
B
What most accurately describes a market supply curve?
supply at different income levels, assuming product prices remain unchanged
supply at different levels of factor prices, assuming product prices remain unchanged
supply at different prices, assuming no changes in technology
supply at different time periods, assuming no changes in technology
C
In calculating the short-run supply schedule for a firm, what is assumed to remain unchanged?
the number of consumers
the price of the good
the quantity of raw material inputs
the state of technology
D