For each situation below, state whether it is an example of the income effect changing quantity demanded or an example of a change in income shifting demand. a. The mean income in Detroit rises and people purchase more homes.
b. The price of frozen pizza decreases, making frozen pizza more popular among college students.
c. A recession forces many people out of work and more people purchase ramen noodles than before.
d. An increase in the price of game consoles decreases sales, as fewer people can afford them.

answer; purpose nondisclosure;

answer///video, because samuel can show his work in real time and be better understood;

yes the correct answer was

b.the increased supply will create a surplus.    

answer: in the short-run firms will respond by raising the price of turkey.

explanation: initially the long-run equilibrium is at a price of $5 per pound of turkey and a quantity of 50 million pounds per year. now, when webmd claims that a protein found in turkey will increase your expected lifespan by 4 years. the consumers demand for turkey will increase at every price shifting the demand curve to the right from d1 to d2. while, there will be no change in the supply curve in the short-run as it is not possible for producers to adjust supply so quickly. as a result the new equilibrium will occur at a higher price and a higher quantity of turkey.

thus, in the short run firms will respond by increasing the price of turkey, selling more quantity at a higher price and earning economic profits.