when a market is in equilibrium ?

Related Mcqs:

1. There is a decentralized market where geographically dispersed dealers are linked by telephones and computer screens. The market is for securities not listed on a stock or bond exchange. Name the market ?

   A. Grey market B. Over-the counter (OTC) C. Open market D. Back market...

2. If a producer has market power (can influence the price of the product in the market) then free market solutions ?

   A. are equitable. B. are efficient C. maximize consumer surplus D. are inefficient...

3. If all firms in a market have identical cost structures and if inputs used in the production of the good in that market are readily available, then the long-run market supply curve for that good should be ?

   A. downward sloping B. perfectly inelastic C. upward sloping D. perfectly elastic...

4. If a result of households wish to save more there is a change in equilibrium income and no change in equilibrium saving this is an example of ?

   A. market imperfection B. the law of diminishing returns C. the paradox of thrift D. market failure...

5. Suppose the economy is initially in long run equilibrium Then suppose there is a drought that destroys much of the wheat crop if policymakers allow the economy to adjust to long-run equilibrium on its own, according to the model to aggregate demand and aggregate supply what happens to prices and output in the long run ?

   A. Output rises; prices are unchanged from the initial value B. Output and the price level are unchanged from their initial values C. Output falls; prices are unchanged from the initial value D. Prices fall; output is unchanged from its initial value...

6. The equilibrium price clears the market it is the price at which _________________?

   A. Everything is sold B. Buyers spend all their money C. Quantity demanded equal quality supplied D. Excess demanded equals quantity E. C and D...

7. Equilibrium in the Money market will change if there is ?

   A. a change in the real money supply B. a change in real income C. a change in competition in the banking industry D. any of the above...

8. Suppose a frost destroys much of the Florida orange crop. At the same time, suppose consumer tastes shift toward orange juice, What would we expect to happen to the equilibrium price and quantity in the market for orange juice ?

   A. price will decrease, quantity is ambiguous B. The impact on both price and quantity is ambiguous. C. Price will increase, quantity will increase D. price will increase, quantity will decrease E. price will increase, quantity is ambiguous....

9. If the price in a market is fixed by the government below equilibrium ?

   A. There is excess equilibrium B. There is excess supply C. There is excess demand D. There is equilibrium...

10. If the market price is below the equilibrium price ?

    A. quantity demanded will be greater than quantity supplied B. quantity demanded will be less than quantity supplied C. demand will be less than supply. D. quantity demanded will equal quantity supplied ....