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.

The Effect of Income on Demand

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A change in price does not shift the demand curve. It only shows a difference in the quantity demanded. The demand curve will move left or right when there is an underlying change in demand at all prices.