Asked by Chris Hughes on May 06, 2024
Verified
The demand curve for monthly subscriptions to HBO has shifted to the right.What could have caused it?
A) a fall in the price of HBO subscriptions
B) an increase in the price of HBO subscriptions
C) an increase in the supply of HBO subscriptions
D) an increase in the incomes of buyers
Demand Curve
A graphical representation showing the relationship between the price of a good and the quantity demanded by consumers at those prices.
HBO Subscriptions
A paid service offered by HBO, a television company, allowing consumers access to a wide range of television shows, movies, and other content.
Incomes of Buyers
Refers to the earnings received by consumers which influence their purchasing power and demand for goods and services.
- Attain knowledge on the concept of demand and supply, as well as the determinants of each.
- Explore the impact that external conditions have on the balance of supply and demand for products.
Verified Answer
MC
matthew crossMay 07, 2024
Final Answer :
D
Explanation :
An increase in the incomes of buyers would lead to an increase in demand for HBO subscriptions as consumers have more disposable income to spend on luxury goods like monthly subscriptions to HBO. This would shift the demand curve for monthly subscriptions to the right.
Learning Objectives
- Attain knowledge on the concept of demand and supply, as well as the determinants of each.
- Explore the impact that external conditions have on the balance of supply and demand for products.