The figure below shows a single consumer's demand for ice cream at the student union. An increase in the number of students on this campus would cause:

A. the market demand curve for ice cream from the student union to shift to the right.
B. the demand curve shown above to shift to the right.
C. the demand curve shown above to shift to the left.
D. no change in the market demand curve for ice cream from the student union.

Answer: A

Economics

You might also like to view...

Due to the recent increase in the price of natural gas, the quantity of coal demanded by electric power generation plants has increased. Based on this information, coal and natural gas are:

A) complements. B) substitutes. C) independent goods. D) none of the above

Economics

A family friend is shopping for an exclusive Vera Wang wedding gown for $8,000 but feels that the price is excessive. She argues that the company should lower prices not only to benefit customers but also to increase the company's revenues and profits. What has she assumed about the price elasticity of demand for these gowns? Is her assumption likely to be correct or incorrect? Why?

Economics