1.)

Complete the following table by selecting the term that matches each definition.

Definition	Quantity Demanded	Demand Curve	Demand Schedule	Law of Demand
A table showing the relationship between the price of a good and the amount that buyers are willing and able to purchase at various prices
The claim that, with other things being equal, the quantity demanded of a good falls when the price of that good rises
The amount of a good that buyers are willing and able to purchase at a given price
A graphical object showing the relationship between the price of a good and the amount of the good that buyers are willing and able to purchase at various prices

Apply your understanding of the previous key terms by completing the following scenario with the appropriate terminology.Your boss would like your help on a marketing research project she is conducting on the relationship between the price of soda and the quantity of soda demanded. She hands you the following document:

Price of Soda	Quantity of Soda Demanded
(Dollars per can)	(Billions of cans)
0.50	2,000
0.75	1,500
1.00	1,000
1.25	750

Your task is to take this demand schedule/demand curve/law of demand/quantity of soda demanded and construct a graphical representation of the data. In doing so, you determine that as the price of soda rises, the quantity of soda demanded decreases. This confirms the demand schedule/demand curve/law of demand/quantity of soda demanded .

2.)

Consider the market for gas-powered small cars. Assume gas-powered small cars are a normal good.

For each of the following events, identify which of the determinants of demand or supply are affected. If demand is unaffected by this event because it creates only a supply change, select the "None" option under the "Demand Determinant" column. Similarly, if supply is unaffected by this event because it creates only a demand change, select the "None" option under the "Supply Determinant" column.

Event	Demand Determinant	Supply Determinant
People decide to have more children.	income/price of substitute or complement/tastes/expectationsumber of buyersone	input prices/technology/expectationsumber of sellersone
The price of electric small cars falls.	income/price of substitute or complement/tastes/expectationsumber of buyersone	input prices/technology/expectationsumber of sellersone
The discovery of a new source of iron ore lowers steel prices.	income/price of substitute or complement/tastes/expectationsumber of buyersone	input prices/technology/expectationsumber of sellersone
An economic recession lowers people's wealth.	income/price of substitute or complement/tastes/expectationsumber of buyersone	input prices/technology/expectationsumber of sellersone
A number of major car dealers decide to switch from selling gas-powered cars to selling electric cars.	income/price of substitute or complement/tastes/expectationsumber of buyersone	input prices/technology/expectationsumber of sellersone

Show the effect of the following event on the market for gas-powered small cars: People decide to have more children.

O Supply Demand O Supply Price of Gas-powered Small Cars Demand Quantity of Gas-powered Small CarsO Supply Demand O Supply Price of Gas-powered Small Cars Demand Quantity of Gas-powered Small CarsO Supply Demand O Supply Price of Gas-powered Small Cars Demand Quantity of Gas-powered Small CarsO Supply Demand O Supply Price of Gas-powered Small Cars Demand Quantity of Gas-powered Small CarsO Supply Demand O Supply Price of Gas-powered Small Cars Demand Quantity of Gas-powered Small Cars\fO Supply Demand Supply Price of Healthcare Demand Quantity of HealthcareO Supply Demand Supply Price of Caribbean Hotel Rooms Demand Quantity of Caribbean Hotel Rooms\fO Supply Demand O Supply Price of Used Cadillacs Demand Quantity of Used Cadillacs