Economic Demend Non price determinants

What is the NPD: Goods for which demand decreases as consumer income rises. Explanation: As income increases, consumers tend to buy less of these goods, opting for more expensive substitutes. Example: Generic brands, public transportation, and instant noodles.

• Inferior goods

• Complementary goods

• Substitute goods

• Taste and preferences

What is the NPD: The higher the income of a consumer the greater the quantity demanded. [The symbol 'Y' is used for income.] However, with inferior goods, an increase in income will lead to a reduction in demand.

• Wheather and disasters

• Substitute goods

• Normal goods

• Inferior goods

What is the NPD: those whose price change has an inverse impact on the demand for related goods.

• Taste and preferences

• Inferior goods

• Unrelated goods

• Substitue goods

What is the NPD: Another critical non-price determinant of demand is the price of related goods

• Complementary goods

• Taste and prefrences

• Substitute goods

• Unrelated goods

What NPD: If products are unrelated, then a change in the price of one product will have no effect upon the demand for the other product.

• Substitute goods

• Unrelated goods

• Inferior goods

• Taste and preferences

What NPD: If a consumer develops a taste of a certain type of good, the demand for that good will increase. This implies a forward shift in the demand curve. And if the consumer taste changes in favor of other goods, the demand curve will shift backward.

• Complementary goods

• Taste and preferences

• Substitute goods

• Weather and disaster

What NPD: If consumers think that the price of a product will increase in the future, then they may well demand more of that product in the present, taking advantage of the current lower price.

• future price expectations

• Taste and preferences

• Unrelated goods

• Complementary goods

What is the NPD: For example, in many European countries, the percentage of older people in the economies is starting to increase. This will be reflected in the demand patterns for certain products, such as vacations targeted at senior citizens, walkers, mobility scooters, etc. where the demand curves should shift to the right.

• Weather and disaster

• Taste and preferences

• Number of consumers

• Future price expectations

What NPD: A demand determined by not seen circumstances that can decrease everything.

• Unrelated goods

• Weather and disaster

• Complementary goods

• Taste and preferences

What year did the Stock exchange crash recently?

• 2008

• 2000

• 1918

• 1925