Recall the Application about the increase in Chinese demand for pecans to answer the following question(s). Between 2006 and 2009, Chinese imports of U.S. pecans increased from 9 million pounds per year to 88 million pounds per year, and as a result of the increase in demand, the equilibrium price increased by about 50 percent. The increase in demand was caused in part by widespread reports in the Chinese media extolling the health benefits of pecans.
-Recall the Application. The equilibrium price of pecans increased because the demand curve shifted

Question

Quizplus · Accepted Answer

An increase in demand causes the demand curve to shift to the right, resulting in a higher equilibrium price. This is evidenced by the increase in Chinese imports of U.S. pecans and the resulting price increase.

Recall the Application About the Increase in Chinese Demand for Pecans