For each of the following changes, determine whether there will be a movement along the demand/supply curve or a shift in the demand/supply curve. If there is a shift in the curve, indicate the direction of the shift. • an increase in the price of a complement in production • a decrease in tastes of consumers for a product • a decrease in the number of buyers in the market
For each of the following changes, determine whether there will be a movement along the demand/supply curve or a shift in the demand/supply curve. If there is a shift in the curve, indicate the direction of the shift. • an increase in the price of a complement in production • a decrease in tastes of consumers for a product • a decrease in the number of buyers in the market
Chapter3: Market Demand And Supply
Section: Chapter Questions
Problem 11SQ
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For each of the following changes, determine whether there will be a movement along the demand/supply curve or a shift in the demand/supply curve. If there is a shift in the curve, indicate the direction of the shift.
• an increase in the price of a complement in production
• a decrease in tastes of consumers for a product
• a decrease in the number of buyers in the market
• a lowering of the product price
• a worsening of business expectations
• a decrease in government subsidies to firms
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