Answer Key to sample problems for test 1

I hope this is right. Send me an email or IM me at CinciDood (AIM screen name).

1-A, 2-A, 3-B, 4-A, 5-C, 6-A,
7-B, 8-D, 9-C, 10-C, 11-A, 12-C, 13-B,
14-B, 15-D, 16-B, 17-B, 17-B, 18-A, 19-A,
20-D, 21-C, 22-B, 23-B, 24-C, 25-B, 26-C,
27-B, 28-A, 29-C, 30-A, 31-A,
32-A, 33-D, 34-C, 35-B, 36-C, 37-D, 38-A,
39-C, 40-B, 41-C, 42-A, 43-B,
44-D, 45-C, 46-B, 47-C, 48-C, 49-C, 50-C,
51-B, 52-C, 53-D.

Sorry for the poor editing of the answers to 51. Those look like dollar amounts, but the numbers should be separated by a comma and a few spaces:

A. $4, 40 units
B. $6, 30 units
C. $8, 30 units
D. $10, 35 units


For the two problems on the review sheet, I will not draw the diagrams, but here are the other answers:


1. B. equilibrium price and quantity is ($6; 81 pizzas).

C. If the price were below $6, there would be an excess demand or a shortage of pizzas. We'd probably find the pizza shop could raise its price, it would reduce the shortage (or eliminate it if they get the equilibrium price right). As the price rises, the quantity demanded would fall and the quantity supplied would increase. Once they find the price $6, there would no longer be a shortage.

2. Filling in the last column of the table:

$25 600 surplus pounds of lobster
$20 300 surplus pounds of lobster
$15 0
$10 300 pound shortage of lobster
$5 600 pound shortage of lobster

(It said to graph on the next page. There is no next page. It's a practice problem. Do it on some other paper.)