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What kind of change in the market for a good is capable of shifting its entire demand curve to a new position, rather than just moving buyers along the existing curve?
AA change in the price of a substitute or complement good
BA change in the price of the good itself
CA movement from one point to another on the curve
DA change in the quantity currently being purchased
Answer & Solution
Correct answer: A. A change in the price of a substitute or complement good
1. A shift in demand happens when some factor other than the good's own price changes.
2. The price of a related good, like a substitute or a complement, is exactly this kind of outside factor.
3. Because that factor is not the good's own price, it moves the whole demand curve rather than sliding buyers along it.
4. Option B is the one change that never shifts the curve; it only produces movement along it.
_Source: OpenStax Principles of Macroeconomics for AP Courses (CC BY 4.0), Ch 3 "Demand and Supply", section 3.2 | Shifts in Demand and Supply for Goods and Services_
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