A change in income, preferences, or prices of other goods or services leads to a ________ that causes a ________.

Question

Quizplus · Accepted Answer

A change in income, preferences, or prices of other goods or services leads to a change in demand, which causes a shift of the demand curve. This shift can either be an increase in demand (shift to the right) or a decrease in demand (shift to the left). On the other hand, a change in price leads to a change in quantity demanded, which causes a movement along the demand curve.

A Change in Income, Preferences, or Prices of Other Goods