What happens to the demand curve for a good when some of the alternatives to that good are no longer available on the market?A.It becomes vertical.B.It becomes flatter.C.It becomes steeper.D.It becomes horizontal.
Question
What happens to the demand curve for a good when some of the alternatives to that good are no longer available on the market?A.It becomes vertical.B.It becomes flatter.C.It becomes steeper.D.It becomes horizontal.
Solution
The demand curve for a good becomes steeper when some of the alternatives to that good are no longer available on the market. This is because the absence of alternatives makes the good more necessary for consumers, increasing the demand at each price point. As a result, consumers are willing to pay more for the same quantity of the good, which is represented by a steeper demand curve. So, the correct answer is C. It becomes steeper.
Similar Questions
If a good is a Giffen good, thenGroup of answer choicesthere is no optimal level of consumption for the consumer.the demand curve is upward sloping.the demand curve is horizontal.the supply curve is downward sloping.
If a good is normal, then an increase in income will result in A. a downward movement along the demand curve B. a decrease in the demand for the good C. an increase in the demand for the good D. an upward movement along the demand curveReset Selection
What happens to the supply curve for a good when an alternative use of productive resources arises?A.It becomes vertical.B.It becomes steeper.C.It becomes horizontal.D.It becomes flatter.
What is the shape of a demand curve when consumers have a lot of time to adjust to price changes?A.HorizontalB.VerticalC.FlatD.Steep
Which term describes a demand curve that shows that no consumer will buy a good if the price increases even a little?A.FlatB.SteepC.HorizontalD.Vertical
Upgrade your grade with Knowee
Get personalized homework help. Review tough concepts in more detail, or go deeper into your topic by exploring other relevant questions.