An increase in the demand for a good means that:
a. the demand curve has shifted to the left.
b. the good's price has fallen and, as a result, consumers are buying more of the good.
c. the good has become scarce.
d. consumers are willing to purchase more of the good at each possible price.
QUESTION 2Which of the following will not cause a shift in the demand curve for good X?
a. A change in the price of a complementary good.
b. A change in the price of good X.
c. A change in consumer tastes and preferences for good X.
d. An increase in consumer income.
QUESTION 3Which of the following is most likely to shift the demand curve for electricity to the left?
a. consumers becoming more energy conscious.
b. an increase in income.
c. a decrease in the price of electricity.
d. an increase in the price of natural gas, a substitute source of energy.
QUESTION 4Suppose all of the major computer manufacturers announced that beginning next month there would be major price reductions on their computers. This would cause the current demand for computers to:
a. increase. b. decrease.
c. remain unchanged. d. increase and then decrease.
QUESTION 5An increase in the expected future price of a good will cause the current demand for the good to:
a. decrease, which is a shift to the left of the demand curve.
b. decrease, which is a shift to the right of the demand curve.
c. increase, which is a shift to the left of the demand curve.
d. increase, which is a shift to the right of the demand curve.
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