Cambridge International as and a level Economics Ebook

change in demand
rather 
than a change in the quantity demanded (see 
Table 2.9
 and 
Figure 2.14
). 
Figure 2.14 
shows:
■ 
Consumers are now willing and able to buy more PCs 
at each and every price. So, whereas previously as 
shown in 
Table 2.8
they had only been prepared to 
buy 3,000 units per week at $1,600 each, now they are 
prepared to buy 4,000.
■ 
Consumers previously were prepared to pay $1,600 for 
3,000 PCs; now they are prepared to pay $1,800 each for 
that quantity.
Change in demand:
 
when there
 
is a shift 
 
in the demand 
curve due to a change in factors other than the price of the 
particular product.
KEY TERM
Causes of shift s in the demand curve
Individuals may diff er widely in their attitudes towards 
products. We could therefore spend a lot of time 
constructing a very long list of non-price infl uences. 
Th
is might be useful in certain circumstances but not in 
all cases. Economists have identifi ed three key non-price 
categories that can be used to describe and analyse the 
factors that infl uence the demand for most products. 
Th
ey are:
1
the income/ability to pay for the product
2
the price and availability of related products
3
fashion, taste and attitudes.
SELF-ASSESSMENT TASK 
2.15
Use the information in 
Table 2.10
to draw a demand 
curve and explain what has happened to that 
demand curve – you are showing a decrease in 
demand. Draw in demand curve 
D
0 
from 
Figure 2.14 
as well so that you can use it as the basis for your 
comparison.
Price of a