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Demand equals…
Consumer
Demand
Desire to purchase an item and willingness to pay
Law of Demand
Buyers purchase more at a low price and less at a high price; as price decreases we demand more
Determinant
A shift in the curve when something other than price changes
Right
Increase
Left
Decrease
C
Change in Taste (preference)
C
Change in Income
C
Change in Market size (Change in the # of consumers available)
E
Expectations of consumers
Expectations of consumers (3)
Future price, future availability, future income
P
Price of related goods
P
T
I
M
E
Price of related goods
change in Taste
change in Income
Change in Market size
Expectations of consumers