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Law Incorporation [45]
3 years ago
7

Consider the market demand for peanut butter.Complete the following table by indicating whether an event will cause a movement a

long the demand curve for peanut butter or a shift of the demand curve for peanut butter, holding all else constant. Event Movement or Along ShiftA change in the expectations of consumers about prices A decrease in the price of peanut butter A decrease in the number of consumers
Business
1 answer:
EleoNora [17]3 years ago
8 0

Answer:

A change in the expectations of consumers about prices - a shift of the demand curve for peanut butter

A decrease in the price of peanut butter - a movement along the demand curve for peanut butter

A decrease in the number of consumers - a shift of the demand curve for peanut butter

Explanation:

Only a change in price of a product would lead to a movement along the demand curve for that product.

A decrease in the price of peanut butter would increase the quantity demanded for butter. This would lead to a movement down the demand curve.

A change in the expectations of consumers about prices can shift demand curve either to the left or right.

A decrease in the number of consumers would shift the demand curve to the left.

I hope my answer helps you

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