The figure given below represents the equilibrium price and output in the market for restaurant meals and delivery meals. Figure 4.1
- Refer to Figure 4.1.The demand for Restaurant Meals shift in one direction while the demand for Delivery meals shift in another direction.This implies:
A)the demand for Restaurant Meals increased while that for Delivery Meals decreased.
B)the demand for Restaurant Meals decreased while that for Delivery Meals increased.
C)the demand for Restaurant Meals increased while that for Delivery Meals increased.
D)the demand for Restaurant Meals decreased while that for Delivery Meals decreased.
E)the demand for Restaurant Meals and the demand for Delivery Meals adds up to 1.

Question

The figure given below represents the equilibrium price and output in the market for restaurant meals and delivery meals. Figure 4.1 
- Refer to Figure 4.1.The demand for Restaurant Meals shift in one direction while the demand for Delivery meals shift in another direction.This implies:
A)the demand for Restaurant Meals increased while that for Delivery Meals decreased. 
B)the demand for Restaurant Meals decreased while that for Delivery Meals increased. 
C)the demand for Restaurant Meals increased while that for Delivery Meals increased. 
D)the demand for Restaurant Meals decreased while that for Delivery Meals decreased. 
E)the demand for Restaurant Meals and the demand for Delivery Meals adds up to 1.

Quizplus · Accepted Answer

Since the equilibrium price for Restaurant Meals increases and the equilibrium price for Delivery Meals decreases, it is most likely that the shift in demand for Restaurant Meals is to the left (decreased) while that for Delivery Meals is to the right (increased). Therefore, the answer is B.

The Figure Given Below Represents the Equilibrium Price and Output