cfa一级preliminaryreadingdemandandthemarketprocess(编辑修改稿)

cfa一级preliminaryreadingdemandandthemarketprocess(编辑修改稿)内容摘要：

D. a surplus. B Price floors are minimum prices that buyers must pay for a good. Price floors allow producers to receive a price above the equilibrium price. Therefore, producers will increase production and supply. Buyers will reduce their consumption at the higher price, resulting in a surplus. Question ID: 12682 The invisible hand principal refers to the tendency of: A. market prices to rise and fall in response to supply and demand interaction. B. the stock market to rise during periods of rapid economic growth. C. market prices to direct individuals to productive activities. D. the stock market to decline during periods of negative economic growth. C The invisible hand principal refers to the tendency of market prices to direct individuals to productive activities. Question ID: 12683 Which of the following is NOT one of the ponents of the invisible hand? A. Motivating producers to work, use efficient production, and supply desired goods. B. Helping price products and providing order in the market. 10 C. Communicating information to decisions makers. D. Government coordination of the actions of market participants. D The item listed that is not a ponent of the invisible hand is government coordination of the actions of market participants. The whole idea of the invisible hand is that certain aspects of the economy do not need guidance from a central anization (like the government) to benefit society. Question ID: 12677 Which of the following is most likely to cause a shift in the supply curve to the right? A. Consumers39。 ines decrease. B. Producers39。 manufacturing cost declines. C. The price of substitute goods increases. D. The price of the product increases. B A decline in manufacturing cost will lead to greater profit at the same production level. Producers will increase production and prices will fall and the supply curve will shift to the right. Question ID: 12639 Which of the following indicates the typical slope of the supply and demand curves? A. Supply Curve Demand Curve Flat Vertical B. Supply Curve Demand Curve Upward to the right Upward to the left C. Supply Curve Demand Curve Upward to the left Upward to the left D. Supply Curve Demand Curve 11 Vertical Flat B Given that price is on the vertical axis and quantity on the horizontal axis, the supply curve slopes upwards to the right indicating that supply increases as price increases. The demand curve slopes downward to the right indicating that demand increases as price decreases. Question ID: 12674 Which of the following will NOT cause the demand curve to shift? A change in: A. the price of a substitute good. B. the relative price of a plimentary good. C. the price of a product. D. consumer preferences. C A change in the price of a product is movement along the demand curve. Other factors that cause a shift in the demand curve are: changes in consumer ine, changes in consumer expectations regarding future prices of products, changes in the number of consumers in the market, demographic changes. Question ID: 12640 The law of supply states that, given a decrease in: A. price, supply will decrease. B. real output, supply will increase. C. real output, supply will increase. D. price, supply will increase. A The law of supply states that given a decrease in price supply will decrease. This relationship exists because higher prices induce current producers to produce more units and new 12 producers to enter the market and vice versa. Question ID: 14117 Which of the following factors would cause the demand curve for a normal good to increase (shift to the right)? A. An increase in the price of a plementary good. B. A decline in consumer ine. C. A decrease in the price of the good. D. An increase in the price of a substitute good. D Prices of substitute goods influence demand. If two goods are similiar to one another, they are substitutes, if price rises on one of the goods, demand for the other will rise (shift upward to the right). Question ID: 12673 Assuming there will be no shift in the supply or demand curve, what will bring the market into equilibrium if the demand for a product is too low relative to supply? Price will decline, demand will: A. rise, and supply will rise. B. decline, and supply will fall. C. decline, and supply will rise. D. rise, and supply will fall. D If the demand for a product is too low relative to supply, price will fall. The lower price of the product will increase product demand while simultaneously motivating producers to produce less of the product. : Preliminary Reading: The Economic Role of Government Question ID: 12709 13 Which of the following best describes economic inefficiency? A. Marginal revenue that is less than marginal cost. B. The lowest possible benefit for a given cost. C. An accounting loss. D. An economic loss. B An economic action will be efficient if it produces the largest possible benefit for a given cost. Some of these benefits may not be quantifiable so that concepts like profit and marginal revenue are not appropriate. Question ID: 24833 Two government functions that will help create the proper environment for economic efficiency are: A. protective and productive functions. B. productive and legislative functions. C. protective and legislative functions. D. legislative and economic functions. A The protective and productive functions will help create the proper environment for economic efficiency. The protective function of the government helps to provide an environment in which citizens can interact peacefully with one another. An example of this is the government’s role in national。