6. USAEO Quantitative and Graphical Analysis

Graphical Reasoning Under Time Limits — Quiz

Test your understanding of graphical reasoning under time limits with 5 practice questions.

Practice Questions

Question 1

In a supply and demand graph, which shift would most likely result from an increase in consumer income for a normal good, ceteris paribus?

Question 2

Which point on a production possibilities frontier (PPF) represents an efficient allocation of resources?

Question 3

If the price of a substitute good increases, what is the most likely effect on the original good’s demand curve, assuming all else equal?

Question 4

Suppose a firm faces a perfectly elastic demand curve. What does the marginal revenue (MR) curve look like in this case?

Question 5

Which of the following best describes the effect on total revenue if demand is inelastic and the price increases?