Several studies have shown promising links between green tea consumption and cancer prevention.How will this affect the market for green tea?
A)The quantity of green tea demanded will increase because of a change in tastes in favour of green tea.
B)The green tea demand curve will shift to the right because of a change in tastes in favour of green tea.
C)The green tea demand curve will shift to the left because this new information will increase the price of green tea.
D)The quantity of green tea demanded will decrease because this new information will increase the price of green tea.

Question

Quizplus · Accepted Answer

The link between green tea and cancer prevention is likely to increase the demand for green tea, leading to a shift in the demand curve to the right. As a result, the quantity of green tea demanded will increase, and the price may also rise, but not necessarily enough to deter people from buying it. Therefore, option B is the most reasonable choice.

Several Studies Have Shown Promising Links Between Green Tea Consumption