AP Macroeconomics Practice Quiz: Supply
Written by AP Content Team, Verified for 2026 AP Exams, Last updated: May 2026
Test your understanding with short quizzes. This quiz has 13 questions to check your progress.
Question 1 of 13
All Questions (13)
A) supply of that good decreases.
B) quantity supplied of that good decreases.
C) supply of that good increases.
D) quantity supplied of that good increases.
Correct Answer: D
Based on the law of supply, there is a positive relationship between price and quantity supplied. Therefore, a higher price leads to a higher quantity supplied.
A) A positive relationship between price and quantity supplied.
B) An inverse relationship between price and quantity supplied.
C) A positive relationship between input prices and quantity supplied.
D) An inverse relationship between input prices and quantity supplied.
Correct Answer: A
The provided content explicitly states that the law of supply describes a positive relationship between the price of a good or service and the quantity supplied.
A) downward-sloping.
B) upward-sloping.
C) horizontal.
D) vertical.
Correct Answer: B
The positive relationship between price and quantity supplied means that as price goes up, quantity supplied goes up, resulting in an upward-sloping supply curve.
A) quantity adjusters.
B) price effects.
C) determinants of supply.
D) the law of supply.
Correct Answer: C
The content explains that factors influencing producer supply, other than the good's own price, are determinants of supply and they cause the market supply curve to shift.
A) The supply curve for corn will shift to the left.
B) The supply curve for corn will shift to the right.
C) There will be a movement up along the supply curve for corn.
D) There will be a movement down along the supply curve for corn.
Correct Answer: B
A decrease in the price of an input makes production less costly. Producers are now willing to supply more corn at every price level, causing the entire supply curve to shift to the right.
A) A new oil drilling technology is perfected.
B) The largest oil refinery in the country is destroyed by a hurricane.
C) The price of crude oil, an input, increases.
D) The market price of gasoline increases from $3 to $4 per gallon.
Correct Answer: D
A change in the good's own price causes a change in quantity supplied, which is a movement along the curve. The other options are changes in determinants (technology, number of producers, input prices) which would shift the entire supply curve.
A) An increase in the supply of new houses, shifting the supply curve right.
B) A decrease in the supply of new houses, shifting the supply curve left.
C) An increase in the quantity supplied of new houses.
D) A decrease in the quantity supplied of new houses.
Correct Answer: B
An increase in input prices raises the cost of production. This makes producers less willing or able to supply the same quantity at a given price, resulting in a decrease in supply, which is represented by a leftward shift of the supply curve.
A) a movement down along the supply curve.
B) a movement up along the supply curve.
C) a rightward shift of the supply curve.
D) a leftward shift of the supply curve.
Correct Answer: D
A decrease in supply means that at any given price, producers are willing and able to offer less of the good for sale. This is shown as a shift of the entire supply curve to the left.
A) why the supply curve is downward-sloping.
B) what causes the entire supply curve to shift.
C) why a change in price does not affect producer behavior.
D) the relationship between price and quantity demanded.
Correct Answer: B
The law of supply deals with movements along the curve due to price changes. The determinants of supply are the underlying factors (like input prices) that cause the entire relationship between price and quantity supplied to change, shifting the curve.
A) increase its quantity supplied of chairs.
B) decrease its quantity supplied of chairs.
C) shift its supply curve to the right.
D) shift its supply curve to the left.
Correct Answer: B
The law of supply indicates a positive relationship between price and quantity supplied. A fall in the market price will lead to a decrease in the quantity of chairs the company is willing to supply.
A) A farmer plants more soybeans because the price of soybeans is high.
B) A pizza parlor sells more slices when the price per slice increases from $2 to $3.
C) A car manufacturer reduces production because the price of steel has increased.
D) A local coffee shop roasts fewer beans when the price of coffee falls.
Correct Answer: C
A change in the price of steel is a change in an input price, which is a determinant of supply. This causes a shift of the supply curve (a change in supply). The other options describe reactions to a change in the good's own price, which are changes in quantity supplied.
A) rightward shift of the entire supply curve.
B) leftward shift of the entire supply curve.
C) movement from a lower point to a higher point on a fixed supply curve.
D) movement from a higher point to a lower point on a fixed supply curve.
Correct Answer: C
An 'increase in quantity supplied' is caused by an increase in the good's own price and is shown as a movement up along the existing, upward-sloping supply curve.
A) The law of supply is violated as more milk is produced.
B) The quantity of milk supplied increases at every price level.
C) Producers move down along the existing supply curve.
D) The supply curve for milk shifts to the left.
Correct Answer: B
A subsidy acts as a decrease in input costs, which is a determinant of supply. This makes production cheaper and causes an increase in supply, meaning a greater quantity will be supplied at every given price. This is shown as a rightward shift of the supply curve.