Demand Shift

What happens to the demand curve when there is an increase in demand?

• It remains unchanged

• It shifts down and to the left

• It becomes steeper

• It shifts up and to the right

How does a decrease in demand affect the demand curve?

• Makes it horizontal

• Shifts it up and to the right

• No effect

• Shifts it down and to the left

What is an example of an inferior good mentioned in the video?

• Fine dining

• Caviar

• Instant ramen

• Steak

Which factor does not affect demand shifts?

• Changes in weather

• Population changes

• Changes in tastes

• Income changes

What is a normal good?

• A good for which demand increases when income increases

• A good for which demand increases when income decreases

• A good for which demand decreases when income increases

• A good that is always in demand regardless of income changes

Which of the following is likely to cause an increase in demand for a product?

• An increase in the price of the product itself

• An increase in the price of a substitute good

• A decrease in income

• A decrease in the population

What happens to the demand for hamburgers if the price of hot dogs increases?

• It fluctuates unpredictably

• It increases

• It remains the same

• It decreases

What are complements in terms of market goods?

• Goods that replace each other

• Goods that are used together

• Goods that have no relation

• Goods that are opposites

What happens to the demand for hamburger buns if the price of hamburgers decreases?

• It increases

• It becomes unpredictable

• It decreases

• It remains unchanged

What effect does an expectation of a future price increase have on current demand?

• Decreases demand

• Increases demand

• Temporarily stops demand

• No effect on demand