Baseball cards are considered to be a normal good. This means that, as incomes rise, consumers are willing and able to purchase greater quantities (more) of baseball cards. How would an increase in incomes be modeled in a graph of the supply and demand curves for baseball cards?(1 point)

Question

Responses

The equilibrium point would move downward along the supply curve because of a drop in demand.
The equilibrium point would move downward along the supply curve because of a drop in demand.

The supply curve would shift to the left.
The supply curve would shift to the left.

The supply curve would shift to the right.
The supply curve would shift to the right.

The equilibrium point would move upward along the supply curve because of an increase in demand.

Answer 1

In the context of baseball cards being a normal good, when incomes rise, the demand for baseball cards increases because consumers are willing and able to purchase more. This increase in demand would be represented as a rightward shift of the demand curve on a graph.

Given this, the correct response is:

The equilibrium point would move upward along the supply curve because of an increase in demand.

This reflects that with higher demand, the quantity sold and the price would both increase at the new equilibrium point.