JAMB Economics 1979 Question 6

Question 6

Theory of Demand

When the demand curve shifts to the right, it indicates that a larger quantity is demanded at each price. This is caused by one of the following:

  1. A.a fall in income
  2. B.a rise in the price of a complement
  3. C.a fall in the price of a substitute
  4. D.a change in tastes against this commodity
  5. E.none of the above.
Show the answer and explanation

Answer: E (none of the above.)

Explanation

Each of A to D would reduce demand (shift it to the left) for a normal good, so none of them causes a rightward shift.