A Rightward Shift in the Demand Curve for Tennis Balls

question 106

Multiple Choice

A rightward shift in the demand curve for tennis balls would most likely be caused by

• A) a fall in the price of tennis balls.
• B) a fall in the price of tennis rackets.
• C) a rise in the price of tennis lessons.
• D) a fall in income,assuming tennis balls are a normal good.

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Definitions:

Mead

An alcoholic beverage created by fermenting honey with water, sometimes with various fruits, spices, grains, or hops.

Utility Function

An economic model that describes how consumers rank different bundles or combinations of goods according to the level of satisfaction or utility they provide.

Equivalent Variation

A measure in economics that captures the change in wealth needed to maintain utility at a pre-change level after a price change.

Income

Money that an individual or business receives in exchange for providing labor, producing goods, or investing capital, over a certain period.