Supply and Demand


Changes in Demand Demand Curves can shift in response to the following factors



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Supply and Demand

Changes in Demand

Demand Curves can shift in response to the following factors:

Buyers (# of): changes in the number of consumers

Income: changes in consumers’ income

Tastes: changes in preference or popularity of product/ service

Expectations: changes in what consumers expect to happen in the future

Related goods: compliments and substitutes

BITER: factors that shift the demand curve

Will Perspective Impact Demand?

  • https://www.youtube.com/watch?v=xpqqKRlqZfU
  • https://www.youtube.com/watch?v=gJdBNYWG4a0
  • https://www.thisisinsider.com/payless-convinced-influencers-to-pay-600-for-20-shoes-at-fake-store-2018-11

Changes in Demand

  • Several factors will change the demand for the good (shift the entire demand curve)
  • As an example, suppose consumer income increases. The demand for Widgets at all prices will increase.

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