Asked by Parker Elliott on Jul 07, 2024
Verified
Studies show that the demand curve for peas has shifted over the years.Which of the following explanations would you reject first?
A) The price of string beans has changed.
B) The demand for corn has changed.
C) The demand for string beans has changed.
D) The income of consumers has changed.
E) The price of peas has changed.
Demand Curve
A graph showing the relationship between the price of a good and the quantity demanded by consumers.
Income
The financial return or earnings from employment, investments, or business ventures.
- Ascertain causes that result in movements along and shifts in demand curves.
- Identify the role of complements and substitutes in affecting the demand for a good.
Verified Answer
AW
Alyce WilliamsJul 09, 2024
Final Answer :
E
Explanation :
The price of peas changing would not cause the demand curve for peas to shift; it would cause a movement along the demand curve. Changes in the demand curve are caused by factors other than the price of the good itself, such as changes in consumer income, preferences, or the prices of related goods.
Learning Objectives
- Ascertain causes that result in movements along and shifts in demand curves.
- Identify the role of complements and substitutes in affecting the demand for a good.