Which of the following lists only factors that would cause an increase in the demand for an item?
A)Information on possible side effects of using an item; a rise in income (if the good is a normal good); a fall in the price of a substitute good
B)Information on possible side effects of using an item; a rise in income (if the good is a normal good); a fall in the price of a substitute good.
C)A decrease in the number of consumers in the market; a rise in the price of a substitute good; a fall in the price of a complementary good
D)An increased congestion effect; a decrease in the number of consumers in the market; increase in popularity of a product.

Question

Quizplus · Accepted Answer

Information on possible side effects of using an item can cause a decrease in demand, while a rise in income (if the good is a normal good) and a fall in the price of a substitute good would both cause an increase in demand. Therefore, only option B lists factors that would cause an increase in demand for an item.

Which of the Following Lists Only Factors That Would Cause