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"Which of the following shifts the demand for watches to the right?

a. a decrease in the price of watches
b. a decrease in consumer incomes if watches are a normal good
c. a decrease in the price of watch batteries if watch batteries and watches are complements
d. an increase in the price of watches
e. none of the above"

User Hironori
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1 Answer

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Final answer:

The correct option that shifts the demand for watches to the right is a decrease in the price of watch batteries if watch batteries and watches are complements. This leads to an increase in demand for watches, thus a rightward shift in the demand curve.

Step-by-step explanation:

To determine which scenario shifts the demand for watches to the right, we need to consider each option:

  • a. A decrease in the price of watches: This would likely increase the quantity demanded, but it does not shift the demand curve itself. It results in movement along the demand curve.
  • b. A decrease in consumer incomes if watches are a normal good: If watches are a normal good, a decrease in income would actually decrease demand, not increase it, shifting the demand curve to the left.
  • c. A decrease in the price of watch batteries if watch batteries and watches are complements: This is the correct answer. A decrease in the price of a complementary good, such as watch batteries, would increase the demand for watches, shifting the demand curve to the right.
  • d. An increase in the price of watches: An increase in the price would lead to a decrease in the quantity demanded, but it does not shift the demand curve.
  • e. None of the above: This is incorrect because option c is a valid cause for a rightward shift in demand for watches.
User Anson Yao
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