Which aspect of the market does a change in the number of buyers directly affect?

• A. The position of the demand curve
• B. The equilibrium price only
• C. The opportunity cost of production
• D. The slope of the supply curve

Answer: (A)

Verified step by step guidance

1. Understand that the number of buyers in a market affects the overall demand for a good or service because more buyers typically increase the quantity demanded at every price.
2. Recall that the demand curve shows the relationship between price and quantity demanded, holding other factors constant.
3. Recognize that a change in the number of buyers shifts the entire demand curve either to the right (increase in buyers) or to the left (decrease in buyers), rather than just moving along the curve.
4. Note that this shift changes the position of the demand curve, not the slope, because the slope depends on how quantity demanded changes with price, not on the number of buyers.
5. Conclude that the correct effect of a change in the number of buyers is a shift in the position of the demand curve, not a change in equilibrium price alone, opportunity cost, or the supply curve.