I came across this question in a sample exam: “In a competitive market where the

Question

I came across this question in a sample exam:
“In a competitive market where the supply and demand curves are normal, an increase in consumer income caused consumers to be willing – at all price levels - to buy twice as much of a product than what they had purchased beforehand. From here we can see that the amount of units sold at equilibrium ...:”
This was a multiple choice question, and the answer given was
“will rise, and will be less than twice what it was before”.
I don’t understand why it doesn’t rise to be exactly twice what it was before. Please help. Thank you.

Explanation / Answer

let initial equilibrium is at p, x then when income increase demand at price p(existing) will rise this will lead to increase in price. if price had remain same the consumption would have been twice x but as p increases consumption will be less than 2x it will be more clear if will draw figure.

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