Question 1
What is meant by weather?
A.
Firms assumed to respond to higher prices by supplying more. B.
Good/bad conditions affect agricultural and seasonal supply. C.
Caused by non-price factors. D.
Shifts supply right.
Question 2
What is meant by shift of supply?
A.
Higher output per worker lowers unit costs — shifts supply right. B.
Firms assumed to respond to higher prices by supplying more. C.
Caused by non-price factors. D.
Higher input costs shift supply left.
Question 3
In PINTSWC, 'P' at the start stands for:
A.
Productivity B.
Price of the good C.
Population D.
Profit only
Question 4
What is meant by indirect tax?
A.
Productivity, Indirect taxes, Number of firms, Technology, Subsidies, Weather, Costs. B.
Shows relationship between price and quantity supplied. C.
Shifts supply left. D.
Allows firms to increase output quickly.
Question 5
What is meant by profit maximisation?
A.
Quantity firms are willing to produce at a given price. B.
Firms assumed to respond to higher prices by supplying more. C.
Improvements shift supply right. D.
Productivity, Indirect taxes, Number of firms, Technology, Subsidies, Weather, Costs.
Question 6
Bad weather for farmers typically:
A.
Has no effect B.
Shifts demand right C.
Shifts supply left D.
Makes PED elastic
Question 7
What is meant by spare capacity?
A.
Allows firms to increase output quickly. B.
Movement backwards along S when price falls. C.
Quantity firms are willing to produce at a given price. D.
Shows relationship between price and quantity supplied.
Question 8
A rise in the good's own price causes:
A.
Extension of supply B.
Shift left C.
Shift right D.
Market failure
Question 9
A subsidy on production shifts supply:
A.
Only demand left B.
Right C.
Left D.
No effect
Question 10
What is meant by supply?
A.
Quantity firms are willing to produce at a given price. B.
Caused by non-price factors. C.
Firms assumed to respond to higher prices by supplying more. D.
Shifts supply left.
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