Suppose the price of house paint, a normal good, has increased. This change can be shown graphically as a:
A) shift in the demand curve to the right.
B) shift in the demand curve to the left.
C) movement along the demand curve to the right.
D) movement along the demand curve to the left.

Question

Quizplus · Accepted Answer

A change in price of a good leads to a movement along the demand curve, not a shift. If the price of house paint has increased, the quantity demanded will decrease, causing a movement along the demand curve to the left. Therefore, the correct answer is D, movement along the demand curve to the left.

Suppose the Price of House Paint, a Normal Good, Has