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Basic Econ.
Economics Questions and Answers
| Question | Answer |
|---|---|
| If the income of many Americans were to double, what would happen in the luxury (expensive) car market? | the demand for luxury cars would go up. (increase) |
| What would happen in LCD television market if the average income in the United States were to increase? | the demand for LCD televisions would increase. |
| What would happen to the demand for meals in expensive restaurants if the economy were to have a serious slowdown? | demand for meals in expensive restaurants to decrease. |
| If a popular singing group produced 5 recordings that were flops (failures), what would happen to the demand for their songs on itunes? | demand for a singing groups songs would decrease |
| Why is the demand for women's dress gloves less than it was 50 years ago? | demand for women's dress gloves has decreased |
| Why do you think the demand for baseball caps has increased since the 1950's? | The demand for ball caps has increased because tastes have changed and more people are willing to buy and wear baseball caps. |
| What would likely happen to the present demand for coffee if a severe drought hit Colombia, where a large amount of the world's coffee beans are grown? | supply of coffee would decrease |
| What do you think would happen to the demand for butter if the price of margarine (not butter) was cut in half? | The demand for butter would decrease. |
| What do you think would likely happen to the use of public transportation (buses, trains, subways) if the cost of gasoline suddenly tripled? | demand for public transportation would increase |
| What would happen in the ice cream market if a newly invented machine made the cost of producing ice cream much less costly? | The supply of ice cream would increase |
| What do you think would happen in the wooden box market if the price of wood suddenly doubled? | supply would decrease (less) wooden boxes |