Which of the following shifts the demand curve for movies leftward?
A) a decrease in the price of NetFlix, a substitute for movies
B) a decrease in the price of movie tickets
C) an increase in the price of movie tickets
D) an increase in movie star salaries
E) an increase in incomes, assuming movies are a normal good

Question

Quizplus · Accepted Answer

A decrease in the price of Netflix, a substitute for movies, would make Netflix more attractive compared to going to the movies. As consumers switch to the more affordable substitute, the demand for movies decreases, shifting the demand curve leftward.

Which of the Following Shifts the Demand Curve for Movies