Question #79045

Which of the following will NOT cause a change in the demand for coffee (illustrated by a shift in the demand curve)
1. An increase in the price of coffee
2. A decrease in the price of milk, a complement
3. An increase in the number of people drinking coffee
4. An increase in the income of households

Expert's answer

An increase in the price of coffee will NOT cause a change in the demand for coffee (illustrated by a shift in the demand curve), because it will cause a movement along the demand curve.
So, the correct answer is 1.

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