Learning Path
Question & Answer1
Understand Question2
Review Options3
Learn Explanation4
Explore TopicChoose the Best Answer
A
Increase in demand due to change in consumer preferences
B
Decrease in demand due to increase in price
C
No change in demand as it is not a necessity
D
Decrease in demand due to decrease in consumer income
Understanding the Answer
Let's break down why this is correct
Answer
A new report saying the fruit boosts heart health will make more people want it, so the overall demand will rise. This change is a shift of the entire demand curve to the right, not just a movement along the curve, because people’s preferences and perceived value have increased. The factor at work is a change in consumer preferences or perceived benefits, which is a classic demand‑curve‑shifting factor. For example, if oranges are now linked to better heart health, people may buy more oranges at every price level, just as they would if a new health benefit were discovered. Thus the demand curve shifts right, reflecting higher willingness to buy at each price.
Detailed Explanation
The report tells people the fruit is good for heart health. Other options are incorrect because The idea that a price rise makes demand drop is about quantity, not a shift; Even foods that are not essentials can change demand when new information appears.
Key Concepts
Shifts in Demand Curve
Consumer Preferences
Market Dynamics
Topic
Shifts in Demand Curve
Difficulty
medium level question
Cognitive Level
understand
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