Question:
All of the following cause a rightward shift in the market demand curve for a normal good except:
(1) an increase in the price of the substitute product.
(2) an increase in consumers’ income.
(3) a decrease in the price of a complementary product.
(4) a decrease in the price of the good itself.
(5) an increase in the number of consumers in the market.
Correct Answer:
(4)
Answer Explanation:
A decrease in the price of the good itself leads to an expansion of demand (movement down along the curve). It does not shift the curve. Shifts are caused by non-price determinants like income or substitute prices.
Topic: Demand & Supply Year: 2024
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