Economics: Concepts and Choices

Holt Mcdougal

Chapter 5

Supply - all with Video Answers

Educators

Section 1

What Is Supply?

Problem 1

Explain the differences between the terms in each of these pairs:
a. supply law of supply
b. supply schedule supply curve
c. market supply schedule market supply curve

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Problem 2

Why does a supply curve slope upward?

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Numerade Educator

Problem 3

What do the points on a market supply curve represent?

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Problem 4

If the price of a video game increased, what would the law of supply predict about the quantity supplied of the game?

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Problem 5

How is the law of supply similar to the law of demand? How is it different?

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Problem 6

Using Your Notes How is a supply schedule different from a market supply schedule? Refer to your completed cluster diagram. Use the Graphic Organizer at Interactive Review @ ClassZone.com

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Numerade Educator

Problem 7

Focus on one item you buy regularly for which the price has changed. How did this shift in price influence supply?

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Numerade Educator

Problem 8

The market supply schedule on page 133 shows that the quantity supplied of tomatoes priced at 50 cents per pound was 50 pounds. However, market research of customers at the farmers' market showed that the market demand at that price was 250 pounds of tomatoes. How do you explain the difference?

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Numerade Educator

Problem 9

Return to the supply schedule for nutrition bars you created for Application B on page 133 Assume that the class represents all the sellers of nutrition bars in the market. Tabulate these individual supply schedules to create a market supply schedule. Then use that schedule to draw a market supply curve.

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Numerade Educator

Problem 10

Why might producers not always be able to sell their products at the higher prices they prefer? Think about the laws of demand and supply and the different attitudes that consumers and producers have toward price. How might the market resolve this difference? (You will learn more about this in Chapter $6 .)$

Tommy Nguyen

Numerade Educator