Which of the following would cause the demand curve for rice
Which of the following would cause the demand curve for rice to shift to the left?
A rise in the price of rice.
A blight that destroyed 75% of the rice harvest.
A report claiming that the starch in rice causes heart disease.
A tariff that doubles the price of imported spaghetti.
Solution
Demand curve will shift if any determinants of demand (except price of rice itself) changes.
Out of the options, the 3rd one is correct. A report of rice causes heart disease will discourage consumers to consume rice, which will lower rice demand. The demand will shift left.
