Question

The diagram shows the demand for shoes:
Which of the following would cause a movement from B to A?

Options

• An increase in income

• An increase in population

• An increase in price of shoes

• An increase in production

Answer 1

An increase in price of shoes

Explanation:

An increase in the price of shoes will cause a movement from B to A. As the price increases from P to P₁ the quantity of demand decreases.