Which of the following would be most likely to cause a rightward shift of the demand for shares of Planet X,Inc.'s stock?

Question

Quizplus · Accepted Answer

The announcement of a profitable new product line from Planet X would increase the overall demand for the company's products and, consequently, the demand for shares of its stock. This would lead to a rightward shift in the demand curve for shares of Planet X, Inc.'s stock.

None of the other options would directly impact the demand for shares of the company's stock. A strong competitor or a ban on its product would likely decrease the demand for the company's products and shares of its stock. A labor strike would impact the supply of the company's products and might affect the stock's price but not the demand for it. Finally, the announcement of a new public offering of stock would increase the supply of shares, not the demand.

Which of the Following Would Be Most Likely to Cause