Final answer:
People choose organic foods because they are considered safer and healthier, a preference supported by increased incomes allowing for purchases of these pricier items. Demand for organic foods has grown, making them more mainstream and consequently shifting the demand curve rightward and increasing prices.
Step-by-step explanation:
People choose organic foods for several reasons linked to the effects of chemical fertilizers, growth hormones, and pesticides associated with conventional farming methods.
These concerns have significantly influenced consumer preferences towards organic products.
The shift to organic is seen as a move towards safer and healthier food options. Also, increases in income have enabled more consumers to opt for the ostensibly pricier organic options, thereby increasing the overall demand.
With organic foods becoming more mainstream, this demand has further escalated.
Economically, the higher demand for organic produce has caused the demand curve to shift rightward. As a response, producers have moved up along the supply curve, thus increasing the quantity supplied but also the costs due to the intensive labor and stricter regulations involved in organic farming.
This leads to organic foods being more expensive than their non-organic counterparts.