A-LevelEconomicsThe price system and the microeconomy9708/12 · May/June 2022 · Q81 Mark
A firm has a successful advertising campaign for a good. Which combination shows the impact on demand or supply and the associated reason?
Aleftward shift in the good's demand curve, as increased advertising cost raises the price of the product and reduces its demand
Brightward shift in the good's supply curve, as the advertising cost of the firm increases
Crightward shift in the good's demand curve, as successful advertising increases demand
Dleftward shift in the good's supply curve, as successful advertising enables firms to sell more
✓ Correct answer
C: rightward shift in the good's demand curve, as successful advertising increases demand
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