What Is the Difference Between an "Increase in Demand" and an "Increase

question 82

Multiple Choice

What is the difference between an "increase in demand" and an "increase in quantity demanded"?

• A)There is no difference between the two terms; they both refer to a shift of the demand curve.
• B)An "increase in demand" is represented by a rightward shift of the demand curve while an "increase in quantity demanded" is represented by a movement along a given demand curve.
• C)There is no difference between the two terms; they both refer to a movement downward along a given demand curve.
• D)An "increase in demand" is represented by a movement along a given demand curve, while an "increase in quantity demanded" is represented by a rightward shift of the demand curve.

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Definitions:

Own Capital

The personal resources that an investor or business owner invests into a business venture.

Economic Costs

Total expenses incurred in the production of goods and services, including both explicit and implicit costs.

Own Capital

The funds or assets owned by a business or individual, invested to start or operate a business.

Long Run

A period of time in which all factors of production and costs are variable, allowing firms to adjust all inputs in response to market changes.