Read the two statements and choose the correct option.
I. A movement along a demand curve is caused by a change in the good's own price.
II. A shift of a demand curve is caused by a change in the good's own price.

Only ICorrect answerYour answerOnly IICorrect answerYour answerBoth I and IICorrect answerYour answerNeither I nor IICorrect answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer A

Correct answer: A

I is true; II is false: a shift comes from income, related goods' prices, tastes, expectations or the number of buyers.

Ten questions from Demand & Its Determinants, at your own pace.

Ten questions from Demand & Its Determinants, at your own pace.

Read the two statements and choose the correct option.I. A movement along a demand curve is caused by a change in the good's own price.II. A shift of a demand curve is caused by a change in the good's own price.