An outward shift in the consumer demand for wheat will

Question

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An increase in consumer demand for wheat would lead to a higher price for wheat (due to increased demand) and an outward shift in the marginal revenue product of labor producing wheat (due to increased demand for labor to produce more wheat). This would result in more workers being hired and potentially higher wages for workers in the wheat industry, as there is now greater demand for their product. It is unlikely to lead to more capital and less labor being used in production, as an increase in demand would require an increase in production, which would typically require more labor. It is also unlikely to result in downward pressure on wages, as increased demand for a product usually results in an increase in price and an increase in the demand for labor.

An Outward Shift in the Consumer Demand for Wheat Will