48 exam-style questions on Demand — topic 2.1 of Microeconomics in the IB Economics syllabus — with answers and explanations. Samples below; the full set is free with an account.
Butter and margarine are substitutes. If the price of butter rises, ceteris paribus, the market for margarine will most likely experience
Answer: a rightward shift of the demand curve
A higher butter price leads consumers to switch to margarine, increasing margarine demand at every price — a rightward shift, not a movement along the curve.
Which of the following pairs of goods are most likely in joint demand (complements)?
Answer: Cars and petrol
Complements are consumed together: cars are used with petrol. The other pairs satisfy the same want and are therefore substitutes.
A good whose demand increases when consumer income rises is known as
Answer: a normal good
For a normal good, income and demand move in the same direction; for an inferior good, rising income reduces demand as consumers switch to preferred alternatives.
Ceteris paribus, a fall in the price of a good leads to
Answer: an increase in the quantity demanded
A change in the good's own price causes a movement along the demand curve — a change in quantity demanded. 'An increase in demand' means the whole curve shifts.
Consumers come to expect that smartphone prices will rise significantly next month. The most likely immediate effect is
Answer: a rightward shift of the current demand curve
Expectations of future price rises encourage consumers to buy now, increasing current demand at every price — a rightward shift of the demand curve today.
Which of the following would cause a movement along, rather than a shift of, the demand curve for laptops?
Answer: A fall in the price of laptops
A change in the good's own price is already shown by the curve itself: it causes a movement along the demand curve, while the other factors shift the entire curve.
That was 6 of 48 Demand questions.
Practise all 48 freeStateAO1 · 1–2 marks
One word or one short sentence. No explanation, no working: the mark is for the fact itself.
DistinguishAO2 · 2–10 marks
Make the difference clear for BOTH terms — a definition of one of them is only half an answer.
ExplainAO2 · 2–10 marks
Give reasons or causes: say what happens AND why, linking each step with 'because' or 'so that'.
48 Demand questions — free with an account. Spaced repetition, streaks and full exam simulations included.
Practise them freeThis platform is independently developed and is not endorsed by, affiliated with, or sponsored by the International Baccalaureate Organization. “International Baccalaureate” and “IB” are registered trademarks of the IBO.