A-level Economics diagrams
Four markets. Choose the shift, then follow it to equilibrium.
Build the shift
Coffee is a normal good. Household incomes rise while production costs are unchanged. Which curve shifts, and what happens to the equilibrium price and quantity?
Solid curves show the initial market. The dashed curve is your choice.
Follow the cause
A shift or a movement?
A change in the good’s own price moves along its demand curve. A change in income, tastes or a substitute’s price can shift the whole curve.