A rise in income will, ceteris paribus, bring about
- a movement along the demand curve
- a leftward shift of the demand curve
-
a rightward shift of the demand curve
- no effect on the demand curve
The correct answer is: C
Explanation
All things being equal, a rise in income will lead to a rightward shift in demand. A rightward shift in the demand curve could also be as a result of higher price of a substitute good, lower price of a complement good, etc.