THIS DOCUMENT CONTAINS COMPARATIVE ANSWERS FOR ECS2601, CORRECT USE OF THE DOCUMENT FOR RESEARCH AND COMPARATIVE PURPOSES WILL HELP YOU SCORE MORE THAN 75% AS ANSWERS HAVE BEEN COMPILED BY TOP TUTORS IN THE MODULE
Started on Wednesday, 16 August 2023, 9:28 PM
State Finished
Completed on Wednesday, 16 August 2023, 11:17 PM
Time taken 1 hour 48 mins
Marks 17.00/20.00
Grade 85.00 out of 100.00
Question 1
Complete
M ark 0.00 out of 1.00
Which of the following effects will be illustrated on the demand and supply graph where a market is in equilibrium
and demand increases?
a. An excess supply at the new equilibrium price.
b. An excess demand at the new equilibrium price.
c.
An excess demand at the initial equilibrium price.
d. An excess supply at the initial equilibrium price.
,Question 2
Complete
M ark 0.00 out of 1.00
Which of the following conditions are NOT required for the supply and demand model to apply?
a. Both buyers and sellers must trade an identical item.
b. A significant number of buyers.
c. A significant number of sellers.
d.
The traded item must be a product.
Question 3
Complete
M ark 2.00 out of 2.00
Consider the following demand and supply functions:
Demand: Qd = 800 - 80P
Supply: Qs = -200 + 120P.
What is the equilibrium price and output?
a. P = R3 and Q = 560.
b. P = R10 and Q = 300.
c. P = R5 and Q = 400.
d. P = R3.33 and Q = 500.
, Question 4
Complete
M ark 1.00 out of 1.00
A difference between luxuries and necessities is that….
a. luxuries are not purchased by low-income people.
b. rich people buy fewer necessities than do poor people.
c. all necessities are inferior goods and all luxuries are normal goods.
d. the percentage of income spent on luxuries increases as income rises, whereas the percentage of income
spent on necessities falls as income increases.
Question 5
Complete
M ark 2.00 out of 2.00
Suppose that supply is perfectly elastic and the demand curve is downward sloping. A quantity tax placed on
consumers will …
a.
Decrease consumer surplus.
b.
Decrease producer surplus.
c. Increase consumer surplus.
d. Decrease the price received by producers.
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through EFT, credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying this summary from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller oscardiura. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy this summary for R100,00. You're not tied to anything after your purchase.
