Which of the following situations would cause a shift in the demand curve, as opposed to...

Which of the following situations would cause a shift in the demand curve, as opposed to a change in the quantity demanded?

Vegetable prices rise as the majority of the population no longer eats meat.

Auto sales increase due to increased employment.

Gasoline consumption decreases as the taxes included in the price of gasoline increase.

Both A and B.

Solutions

Expert Solution

Shift in Demand Curve occurs when the demand at each price increases or decreases.

If overall demand increases, the quantity demanded at each price will go up and the Demand Curve will shift to the right

.A.Vegetable prices rise as the majority of the population no longer eats meat.

Demand for vegetables will go up and for the same price quantity demanded will go up . People will be willing to pay higher price .

Demand Curve will shift to the right

.B. Auto sales increase due to increased employment.

Demand for automobiles will go up and for the same price quantity demanded will go up . People will be willing to pay higher price for automobile

Demand Curve will shift to the right.

.C. Gasoline consumption decreases as the taxes included in the price of gasoline increase.

There is no shift in Demand Curve. As price increases, demand will decrease along the same Demand Curve.

Both A and B.

jeff jeffy answered 6 months ago

Next > < Previous

Related Solutions

1. which of the following would cause a definite leftward shift of the demand curve? a)...

1. which of the following would cause a definite leftward shift of the demand curve? a) an expectation by consumers of a lower price and an increase in the price of a compliments b) an expectation by consumers of lower income and an increase in the price of a substitute c) a decrease in the number of consumers and a decrease in income (assume inferior good) d) a decrease in income and a positive change in consumer tastes 2. When...

Which of the following would cause the demand curve of iPhones to increase (i.e. shift)? Assume...

Which of the following would cause the demand curve of iPhones to increase (i.e. shift)? Assume that iPhones are a normal good. A decrease in the cost of glass screens used to make smart phones An increase in Samsung Galaxy prices, where Samsung Galaxy is a substitute for iPhones. A decrease in the level of incomes for the average household An increase in the supply for iPhones

Which of the following will cause the aggregate demand curve to shift to the right ?...

Which of the following will cause the aggregate demand curve to shift to the right ? a. A decrease in household wealth b. A decrease in the price level c. Consumer expectations of higher future income d. An increase in the interest rate Which of the following events would most likely caused the increase in aggregate demand a. An increase in interest rates b. An increase in household wealth c. A decrease in consumer confidence d. A decrease in the...

State which of the following changes cause a shift in the aggregate demand curve and which...

State which of the following changes cause a shift in the aggregate demand curve and which ones are a movement along it. Also provide the direction of the change. A cut in government purchases. A crash in the U.S. stock market. A shift to a lower inflation target in the monetary policy rule. Being thrifty now becoming fashionable. An increase in the European interest rate.

Determine whether each of the following would cause a shift of the aggregate demand curve, a...

Determine whether each of the following would cause a shift of the aggregate demand curve, a shift of the aggregate supply curve, a shift in neither curve, or a shift in both curves. If a shift is caused, indicate which curve shifts, and in which direction it shifts. What happens to aggregate output and the price level in each case? 1] The price level changes. 2] Consumer confidence increases. 3] The supply of resources decreases. 4] The wage rate decreases.

Which of the following would cause the demand curve to shift from Demand C to Demand A in the market for tennis balls in the United States?

Which of the following would cause the demand curve to shift from Demand C to Demand A in the market for tennis balls in the United States?Group of answer choicesan expectation by buyers that their incomes will increase in the very near futurea decrease in the price of tennis racquetsan increase in the price of tennis ballsa decrease in the number of people in the United States under age 70

Explain the changes that would cause the dynamic aggregate demand curve to shift.

Which of the following would cause a definite leftward shift of the supply curve? an increase...

Which of the following would cause a definite leftward shift of the supply curve? an increase in the cost of an input and an expectation by firms of a lower price an increase in the price of a complement in production and a decrease in the cost of an input an increase in taxes and an increase in the number of firms an increase in the price of a substitute in production and a decrease in productivity

1.A change in which of the following would cause the LM curve to shift? To rotate?...

1.A change in which of the following would cause the LM curve to shift? To rotate? To both shift and rotate? Which do not affect the position or slope of the LM curve? (a)nominal money supply (b)responsiveness of the demand for money to the interest rate (c)responsiveness of the demand for money to income (d)business and consumer confidence (e)interest rate (r) (f)price level (P)

Which of the following would shift the demand curve for cars to the right? Group of...

Which of the following would shift the demand curve for cars to the right? Group of answer choices An increase in the federal funds rate An increase in discount lending by the Fed to banks An increase in home mortgage interest rates An increase in the unemployment rate over the NAIRU originally proposed the use of government spending to stimulate the economy in the 1930s, during the Great Depression. Group of answer choices John Maynard Keynes Franklin Delano Roosevelt Albert...

Subjects