Question

The demand curve for a product might shift as the result of a change in:

A. consumer tastes.
B. consumer incomes.
C. the prices of related goods.
D. all of these.

Answer 1

The demand curve for a product can shift as a result of changes in consumer tastes, consumer incomes, and the prices of related goods.

Step-by-step explanation:

The demand curve for a product can shift as a result of changes in consumer tastes, consumer incomes, and the prices of related goods.

For example, if consumers suddenly develop a preference for a particular product, the demand for that product will increase, causing the demand curve to shift to the right. On the other hand, if a product becomes more expensive compared to its substitutes, consumers may switch to the substitutes, resulting in a decrease in demand and a leftward shift of the demand curve.

Therefore, the correct answer is option D. (consumer tastes, consumer incomes, the prices of related goods).