2.1.3—Demand determinants

Demand is influenced by income, tastes and preferences, prices of substitutes and complements, expectations, population and other relevant conditions, as well as the good’s own price.

A change in own price causes movement along a fixed demand curve; a change in another determinant shifts the whole curve because quantity demanded changes at every price.

Higher income may shift demand for a normal good right, while a fall in the price of a complement such as printer ink can increase demand for printers.

“Demand increased” should not be used for a movement along the curve unless the context distinguishes demand from quantity demanded.