Chapter 3 - shifts Flashcards
1
Q
What happens when one of the non-price determinants changes?
A
–> If positive influence, demand increases.
–>If negative influence, demand decreases
the shift is horizontal rather than vertical, b/c non-price determinants = affect the quantity demanded at each price.
2
Q
shifts in the demand curve
A
caused by changes in the non-price determinants of demand ONLY! If price increases/decreases and everything stays the same it does not shift!
3
Q
MOVEMENT along the demand curve
A
affects price ONLY; everything else is constant.
