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Paper 1 · Demand and Supply

Which of the following could cause a shift of the demand curve from D1D_1 to D2D_2?

demand shifts - ZIMSEC Economics past paper diagram
Aan increase in supply
Ba rise in the price of a substitute
Ca rise in the price of a complement
Da fall in the price of the product
Explanation: The diagram shows the demand curve shifting outward (rightward) from D1 to D2, indicating an increase in demand. A rise in the price of a substitute makes that substitute more expensive, so consumers switch to this good, increasing demand.

ZIMSEC Economics Paper 1, June 2010, Q5

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