Figure 4-6
-Refer to the Figure 4-6. What happens if the demand curve shifts from D to D1?

Question

Figure 4-6 
-Refer to the Figure 4-6. What happens if the demand curve shifts from D to D1?

Quizplus · Accepted Answer

If the demand curve shifts from D to D1, it means that people are less willing to buy the product at any price than before. This is because the demand curve represents the relationship between price and quantity demanded, and a shift to the left indicates a decrease in quantity demanded at every given price. As a result, firms would be willing to supply less than before as consumers are less willing to buy the product. The price of the product may decrease due to the decrease in demand, but it is not necessarily the cause of the shift in the demand curve.

Figure 4-6 -Refer to the Figure 4-6. What Happens If the Demand