A change in consumer tastes for low-carb food and a decrease in their preferences for low-fat meals does not lead to which of the following?

Question

Quizplus · Accepted Answer

The change in consumer tastes does not lead to a reduction in the value of resources used in low-carb food. The demand for low-carb food is increasing, which suggests that the value of resources used in producing it is likely to remain constant or even increase. Thus, option E is incorrect. The other options are possible outcomes of a change in consumer tastes. A decrease in consumer preferences for low-fat meals could lead to an inward shift of the demand curve for low-fat meals (option A) and a decrease in the amount of resources used to produce low-fat meals (option D). And an increase in the demand for low-carb food could lead to an outward shift of the demand curve for low-carb food (option B) and an increase in the amount of resources used to produce low-carb food (option C).

A Change in Consumer Tastes for Low-Carb Food and a Decrease