Question

practice
directions: graph each scenario of either qd (quantity demanded) or d (demand). (quantity demanded will be reflected in a price change; demand will shift based on one of the factors of demand - t - taste; i - income; r - related goods; e - expectations or s - size of market (number of buyers))

1. a large group of americans (millions) want to wait to buy a cell phone when it is offered at a cheaper price 9 months from now - impact on the demand for the cell phone.

factor of demand: _______________

Explanation:

The scenario involves consumers waiting for a future cheaper price, which falls under expectations about future prices, a specified factor of demand (E - Expectations). This expectation will shift the current demand curve left, as consumers delay purchases, reducing current demand.

Answer:

Factor of demand: E - Expectations
(Graph impact: The current demand curve D will shift to the left, showing a decrease in current demand for the cell phone.)