Name: ___________________________ Section & Course: ___________Date: ____________ Score: ______________

Test I. IDENTIFICATION. Provide the correct answers in the blank.

1. The potential increase in the consumption of both commodities.

2. The cornerstone of the concept of income elasticity of demand.

3. Can change to make goods relatively cheap or costly.

4. The technical terms for satisfaction.

5. The degree of responsiveness of quantity demanded to a change in price.

6. The price of an item multiplied by the number of units of that item sold.

7. Is defined as the process by which an individual selects, organizes and interprets information
to create meaningful picture of the world.

8. The coefficient of the price elasticity of demand between two points along the demand
curve.

9. The elasticity at one point along the demand curve.

10. Goods that supplement each other and are used together.

11. He made a study of income elasticity for food and the finding of his study are depicted in
what is now accepted as Engel’s Law.

12. The total amount of satisfaction derived consuming foods and services.

13. The additional satisfaction derived from consumption of additional goods and services.

14. The responsiveness of demand/ supply to a change in its determinants.

15. The curve depicting the quantities of a good the consumer is willing to buy at all income
levels, assuming all other things remain the same.

16. Goods for which demand tends to increase when income increases.

17. Are those groups that have a direct or indirect influence on person’s attitudes or behaviors.

18. He created the Maslow’s Hierarchy of Needs.

19. Often referred to as “catch-up effect” in economics.

20. This consists the biological needs, safety needs, social needs, esteem needs, and self-
actualization needs.
Test II. ENUMERATION

1-3. Cultural Factors. 16-19 Factors influencing buyer’s behavior

4-6 Social Factors 20-24 Maslow’s Hierarchy of Needs
7-11 Personal Factors 25- 30 Give at least (6) Safety Needs
12-15 Psychological Factors