In the labor market, what causes a movement along the demand curve? What causes a shift in the demand curve?

In the labor market, what causes a movement along the supply curve? What causes a shift in the supply curve?

Why is a living wage considered a price floor? Does imposing a living wage have the same outcome as a minimum wage?

In the financial market, what causes a movement along the demand curve? What causes a shift in the demand curve?

In the financial market, what causes a movement along the supply curve? What causes a shift in the supply curve?

If a usury law limits interest rates to no more than 35 percent, what would the likely impact be on the amount of loans made and interest rates paid?

Which of the following changes in the financial market will lead to a decline in interest rates?

1. A rise in demand
2. A fall in demand
3. A rise in supply
4. A fall in supply

Which of the following changes in the financial market will lead to an increase in the quantity of loans made and received?

1. A rise in demand
2. A fall in demand
3. A rise in supply
4. A fall in supply

Identify the most accurate statement. A price floor will have the largest effect if it is set

1. substantially above the equilibrium price
2. slightly above the equilibrium price
3. slightly below the equilibrium price
4. substantially below the equilibrium price

Sketch all four of these possibilities on a demand and supply diagram to illustrate your answer.

A price ceiling will have the largest effect

1. substantially below the equilibrium price
2. slightly below the equilibrium price
3. substantially above the equilibrium price
4. slightly above the equilibrium price

Sketch all four of these possibilities on a demand and supply diagram to illustrate your answer.

Select the correct answer. A price floor will usually shift

1. demand
2. supply
3. both
4. neither

Illustrate your answer with a diagram.

Select the correct answer. A price ceiling will usually shift

1. demand
2. supply
3. both
4. neither