An increase in demand could arise from which of the following factors
A)an increase in income
B)a decrease in the price of a complement
C)an increase in the price of a substitute
D)all of the above

Question

​An increase in demand could arise from which of the following factors
A)​an increase in income
B)a decrease in the price of a complement
C)an increase in the price of a substitute
D)​all of the above

Quizplus · Accepted Answer

All the options listed are factors that can lead to an increase in demand. An increase in income generally boosts the purchasing power of consumers, allowing them to buy more goods. A decrease in the price of a complement makes the combined purchase of both goods more attractive, thus increasing demand. An increase in the price of a substitute makes the original good more appealing by comparison, also increasing demand.

​An Increase in Demand Could Arise from Which of the Following

An Increase in Demand Could Arise from Which of the Following