MIDTERM EXAMS

Ibabao, John Maui S.

13:00-14:30 LM1A
Test I
(Identification)
1)---The condition in which QD is equal to QS - Market Equilibrium
2)---The price which QD and QS are equal - Equilibrium Price
3)---The quantity bought and sold at the equilibrium price - Equilibrium Quantity
4)---When QS is greater than QD - Surplus
5)---It can result in the decrease of prices in the market - High Supply
6)---When QD is greater than QS - Shortage
7)--It can result in the increase of prices in the market - Low Supply
8)---It represents the goods and services that people buy - Supply
9)---It refers to the quantity of goods that consumers are both willing and able to purchase at
certain condition - Quantity Demanded
10)---The law states that as price increases, the QS also increases - Law of Supply
11)---It lists the prices and the corresponding quantities demanded for a particular goods or
services - Demand Schedule
12)---Ia the total amount of goods and services that is available to consumers - Supply
13)---It can relate to the amount available at a specific price across range of prices - Supply
14)--It is the relationship between the quantity supplied and the factors which affect it - Law of
Supply
15)---The law states that as Price increases the QD decreases - Law of Demand
16)---The employment and national income starts to goes down - Recession
17)---The employment and national income is at the lowest level - Depression
18)---The employment is rising towards - Recovery
19)---The national income is at full capacity - Prosperity
20)---The law states that as price decreases same as the Qs - Law of Supply

Test II
(Identify if the given information below is a determinants of demand or determinants of supply)
1)---No. of buyers - Determinant of Demand
2)---Change in calamities - Determinant of Supply
3)---Technology - Determinant of Supply
4)---Innovations - Determinant of Supply
5)---No. of sellers - Determinant of Supply
6)---Higher Taxes - Determinant of Demand
7)---Change in consumers income - Determinant of Demand
8)---Change in consumers taste and preferences - Determinant of Demand
9)---Change in price expectations - Determinant of Demand
10)---Change in prices of related goods - Determinant of Demand

Test III (Identify the given statements below if it is complementary or Substitution)

1)---Toothpaste and Toothbrush - Complementary
2)---Lrt and electric current - Complementary
3)---Kopico and Nescafe - Substitution
4)---Coke and Pepsi - Substitution
5)---T shirt and pants - Complementary
6)---KFC and Mcdo - Substitution
7)---Celfon and sim card - Complementary
8)---Bench and H&M - Substitution
9)---Coffee and cream - Complementary
10)---UE and UST - Substitution

Test IV
Construct the Demand Curve and Supply Curve, in one graph, Do not Separate the then
indicate the ff:in the graph
Surplus
Shortage
Market Equilibrium
Price Equilibrium
Equilibrium quantity
GIVEN:
Price=2,4,6,8,10,12,14,16,18,20
Qd=20,18,16,14,12,10,8,6,4,2
Qs=2,4,6,8,10,12,14,16,18,20

Price Quantity Demanded Quantity Supplied

2 20 2 Shortage

4 18 4 Shortage

6 16 6 Shortage

8 14 8 Shortage

10 12 10 Shortage

11 11 11 Equilibrium

12 10 12 Surplus

14 8 14 Surplus

16 6 16 Surplus

18 4 18 Surplus

20 2 20 Surplus

Price Equilibrium: 11
Equilibrium Quantity: 11
Market Equilibrium: 11