NAME:_______________________________________________________

GRADE:______________

The price of a DVD rental is $1.50 and the price of a downloaded movie is $1.00. If the price of a
DVD rental increases by $0.50, the relative price a downloaded movie
A) rises.
B) falls.
C) does not change.
D) might change but more information is needed.

The price of a DVD rental is $2.50 and the price of a downloaded movie is $1.00. If the price of a
DVD rental falls by $0.50, the relative price a downloaded movie

A) rises.
B) falls.
C) does not change.
D) might change but more information is needed.

Scarcity guarantees that

A) demands will exceed wants.
B) wants will exceed demands.
C) demands will be equal to wants.
D) most demands will be satisfied.

The quantity demanded of a good or service is the amount that

A) a consumer would like to buy but might not be able to afford.
B) is actually bought during a given time period at a given price.
C) consumers plan to buy during a given time period at a given price.
D) firms are willing to sell during a given time period at a given price.

The quantity demanded is

A) always equal to the equilibrium quantity.
B) independent of the price of the good.
C) the amount of a good that consumers plan to purchase at a particular price.
D) independent of consumers' buying plans.

The "law of demand" states that changes in

A) demand are related directly to changes in supply.
B) the quantity demanded of a good are not related to changes in the quantity supplied.
C) the quantity demanded of a good are inversely related to changes in its price.
D) demand are inversely related to changes in supply

The law of demand implies that demand curves

A) slope down.
B) slope up.
C) shift rightward whenever the price rises.
D) shift leftward whenever the price rises

When the price of an inferior good falls, the substitution effect leads to ________ in the quantity
purchased and the income effect leads to ________ in the quantity purchased.
A) an increase; an increase
B) an increase; a decrease
C) a decrease; an increase
D) a decrease; a decrease
When the price of a normal good falls, the substitution effect leads to ________ in the quantity
purchased and the income effect leads to ________ in the quantity purchased.
A) an increase; an increase
B) an increase; a decrease
C) a decrease; an increase
D) a decrease; a decrease

The quantity of iPads that people plan to buy this month depends on all of the following EXCEPT
the
A) price of a rival's tablet.
B) price of an iPad.
C) the technology used to produce an iPad.
D) price of apps.

A substitute is a good
A) that can be used in place of another good.
B) that is not used in place of another good.
C) of lower quality than another good.
D) of higher quality than another good.

Which of the following pairs of goods are most likely substitutes?

A) DVDs and DVD players
B) cola and lemon lime soda
C) lettuce and salad dressing
D) peanut butter and gasoline

A complement is a good
A) of lower quality than another good.
B) used in conjunction with another good.
C) used instead of another good.
D) of higher quality than another good.

Suppose the price of burgers increases from $2 to $3 each. The degree to which quantity
demanded responds to this price increase depends on the
A) price elasticity of demand.
B) the price elasticity of supply.
C) income elasticity of demand.
D) cross elasticity of demand.

The price elasticity of demand measures

A) how often the price of a good changes.
B) the slope of a budget curve.
C) how sensitive the quantity demanded is to changes in demand.
D) the responsiveness of the quantity demanded to changes in price.
Elasticity measures the
A) percentage change in a variable.
B) slope of a curve.
C) change in a variable.
D) responsiveness of a variable to a change in another variable.

The price elasticity of demand for purses is measured in what units?

A) dollars
B) purses
C) dollars per purse
D) The price elasticity of demand is a unitless measure.
The price elasticity of demand is calculated as the absolute value of the
A) percentage change in quantity demanded divided by the percentage change in price.
B) percentage change in price divided by the percentage change in quantity demanded.
C) change in quantity demanded divided by the change in price.
D) change in price divided by the change in quantity demanded.

The price elasticity of demand is equal to the ________ in the ________ divided by the ________
in the ________.
A) percentage change; price; percentage change; quantity demanded
B) change; price; change; quantity demanded
C) percentage change; quantity demanded; percentage change; price
D) change; quantity demanded; change; price

How do you define GDP?

What does a restrictive monetary policy mean?

What does an expansive monetary policy mean?

Do interest rate is indexed to inflation rate?

If you said yes or not, ¿Why or why not does it happen?

Since your own perspective, what do you expect for the macroeconomic situation in Mexico in the
2020?