Question 4 (1 point)

When supply increases, what happens to price and quantity in equilibrium?

Question 4 options:

a)	Price increases and quantity decreases

b)	Price decreases and quantity increases

c)	Price and quantity both increase

d)	Price and quantity both decrease

Question 5 (1 point)

When supply decreases, what happens to price and quantity in equilibrium?

Question 5 options:

a)	Price increases and quantity decreases

b)	Price decreases and quantity increases

c)	Price and quantity both increase

d)	Price and quantity both decrease

Question 6 (1 point)

When demand decreases, what happens to price and quantity in equilibrium?

Question 6 options:

a)	Price increases and quantity decreases

b)	Price decreases and quantity increases

c)	Price and quantity both increase

d)	Price and quantity both decrease

Question 7 (1 point)

When will people search harder for substitutes for oil?

Question 7 options:

a)	When the price of oil is low

b)	When the price of oil is high

c)	People are not incentivized to search for substitutes for oil

Question 8 (1 point)

If the price in a market is above the equilibrium price, which of the following does this create?

Question 8 options:

a)	A shortage

b)

A surplus

c)	Neither a shortage or a surplus

Question 9 (1 point)

When the price is above the equilibrium price, greed (in other words, self-interest) does what to price?

Question 9 options:

a)	It pushes the price down

b)	It pushes the price up

c)	It has no effect on the price

Question 10 (1 point)

Jon is on eBay, bidding for a first edition of the influential Frank Miller graphic novel Batman: The Dark Knight Returns. In this market, who is Jon competing with?

Question 10 options:

a)	The seller of the graphic novel

b)	The other bidders

c)	eBay's stakeholders

Question 11 (1 point)

Now, Jon is in Japan and is trying to get a job as a full-time translator. He wants to translate English TV shows into Japanese and vice versa. He notices that the wage for translators is very low. Who is the competition that is pushing the wage down?

Question 11 options:

a)	Businesses who hire translators

b)	Other translators

c)	Prospective clients

Question 12 (1 point)

When the price of petroleum goes up, what probably happens to the demand for natural gas?

Question 12 options:

a)	The demand for natural gas increases

b)	The demand for natural gas decreases

c)	A change in the price of petroleum has no effect on the demand for natural gas