List the factors change demand and shift the demand curve. Tell what happens to demand and...

List the factors change demand and shift the demand curve. Tell what happens to demand and the demand curve when there is an increase in the factor

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Expert Solution

When there is Shift on demand curve then the demand curve shift either rightward or leftward

if demand increases then the demand curve shift right and if demand decreases then the demand curve shift to the left

demand curve is inversely sloped in nature because of the inverse relationship between price and quantity demanded

some of the factor that causes the shift of the demand curve are-

1.Income level of consumers -In this as the income level of the consumer increases the demand by him also increases and this causes the shift of demand curve to the right

2.Expectation level of consumer- If the consumer finds that in near future the price is going to raise then today he will buy more and this will cause the shift of demand curve to the right

3.Taste of preferences- If a person like a particular product say for example sweet then he will demand it more and this will cause the shift of demand curve to the right

We were unable to transcribe this image

Expectahan level I of Consumer

Taste and preferences

Rahul Sunny answered 2 weeks ago

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