All else equal,the decrease in consumer preference predicted by Apple for its iPhone 5 would be represented by a
A) shift the supply curve for iPhones to the right.
B) shift the supply curve for iPhones to the left.
C) shift the demand curve for iPhones to the right.
D) shift the demand curve for iPhones to the left.

Question

Quizplus · Accepted Answer

A decrease in consumer preference for the iPhone 5 would result in a shift of the demand curve for iPhones to the left. This is because fewer consumers would be willing to buy the iPhone 5 at the given price, resulting in a decrease in quantity demanded. A shift in the supply curve would imply a change in the quantity supplied at each price point, which is not necessarily related to changes in consumer preference.

All Else Equal,the Decrease in Consumer Preference Predicted by Apple