Factors Affecting Demand

Read this to learn about how factors that affect demand, such as income and change in tastes, are graphed as shifts of the demand curve. Make sure to answer the "Try It" questions.

Learning Objectives

  • Describe which factors cause a shift in the demand curve and explain why the shift occurs
  • Define and give examples of substitutes and complements
  • Draw a demand curve and graphically represent changes in demand

We know that a change in prices affects the quantity demanded. Price, however, is not the only thing that influences demand. For example, how is demand for vegetarian food affected if, say, health concerns cause more consumers to avoid eating meat?

Source: Lumen Learning, https://courses.lumenlearning.com/wmopen-microeconomics/chapter/factors-affecting-demand/
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