Which of the following is a demand-increasing factor in the health care market?

• A. An increase in consumer income
• B. A decrease in population size
• C. A decrease in the price of health care substitutes
• D. A decrease in consumer preferences for health care

Answer: (A)

Verified step by step guidance

1. Understand that a demand-increasing factor shifts the demand curve to the right, meaning consumers want to buy more of the good or service at every price.
2. Recall that an increase in consumer income generally increases demand for normal goods, such as health care, because consumers have more purchasing power.
3. Recognize that a decrease in population size would reduce the number of consumers, thus decreasing demand, not increasing it.
4. Note that a decrease in the price of substitutes makes those substitutes more attractive, which typically decreases demand for the original good (health care in this case).
5. Understand that a decrease in consumer preferences for health care means consumers want less of it, which decreases demand rather than increasing it.