Asked by Brian Williams on Jun 09, 2024

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Which of the following is likely to shift the demand curve for a normal good to the right?

A) A decrease in income,if the good is a normal good
B) An increase in the price of a complementary good
C) A decrease in the good's price,if the good is normal
D) An increase in the good's price,if the good is inferior
E) An expectation of a shortage in the future

Demand Curve

A graphical representation showing the relationship between the price of a good and the amount of the good that consumers are willing and able to purchase at each price.

Normal Good

A type of good whose demand increases as the income of consumers increase, showing a positive relationship between income and demand.

Complementary Good

A product that is used together with another product, with the consumption of one enhancing the use or value of the other.

  • Examine the impact of variations in preferences, incomes, and the cost of related products on demand.
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LP
Leywes PierreJun 16, 2024
Final Answer :
E
Explanation :
An expectation of a shortage in the future can lead to an increase in demand as consumers anticipate higher prices or scarcity ahead, prompting them to buy more of the good now. This expectation shifts the demand curve to the right.