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kramer
2 years ago
7

Demand is a powerful force in a free market. In three to four sentences, explain some of the factors that cause changes in deman

d and why it is important for consumers to understand these changes. 
History
2 answers:
ohaa [14]2 years ago
7 0

Sample answer- Demand changes when the quantity demanded at every price changes. This happens when consumers’ willingness and ability to buy changes. Demand shifts can be caused by changes in income and in consumer tastes and preferences. Demand is also influenced by changes in the price of a complementary good or in the price of a substitute. Demand shifts cause changes in markets. When consumers understand the basics of demand they understand that their buying choices are important. Consumer demand influences which goods and services are available, the quantities available, and the prices of the goods and services we buy.

on e2020

labwork [276]2 years ago
3 0
Changes in factors like average income and preferences can cause an entire demand curve to shift right or left. This causes a higher or lower quantity to be demanded at a given price. Demand curves relate the prices and quantities demanded assuming no other factors change. It is important for consumers to know this information, because it is crucial for them to know what they can afford and can't afford.
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