12) Price determination

Question 1

What are some causes of shifts in the demand curve?

Answer 1

1) Substitutes
2) Income
3) Population change
4) Income tax change
5) Government spending
6) Seasonal factors
7) Fashion and taste
8) Advertising
9) Complements
10) Emotional factors

Question 2

What are some causes of shifts in the demand curve?

Answer 2

1) Substitutes
2) Income
3) Population change
4) Income tax change
5) Government spending
6) Seasonal factors
7) Fashion and taste
8) Advertising
9) Compliments
10) Emotional factors

Question 3

What is the equilibrium price?

Answer 3

The price at which there is no tendency to change because planned purchases are equal to planned sales