In a hypothetical country, the population is expected to increase by 25% following recent legislation relaxing the barriers that restrict immigration. It is expected that the new immigrants will purchase the same goods and services as the current population does. If all other economic forces are held constant, how would this increase in population influence demand?(1 point)

Question

Responses

a movement upward along the demand curve
a movement upward along the demand curve

a movement downward along the demand curve
a movement downward along the demand curve

shift the demand curves for all goods and services to the right
shift the demand curves for all goods and services to the right

shift the demand curves for all goods and services to the left

Answer 1

The correct response is:

shift the demand curves for all goods and services to the right.

This is because an increase in population would lead to an increase in the total demand for goods and services, as more consumers would be purchasing these goods and services.