Question

factors affecting demand

1. movement along the demand curve showing that a different quantity is purchased in response to a change in price
2. change in quantity demanded caused by a change in consumers income when the price of a product changes
3. different amounts demanded at every price, causing the demand curve to shift to the left or the right
4. products related in such a way that an increase in the price of one increases the demand for the other
5. products related in such a way that an increase in the price of one reduces the demand for the other

a. change in demand
b. change in quantity demanded
c. complements
d. income effect
e. substitutes

Explanation:

1. A movement along the demand curve due to price changes is defined as a change in quantity demanded.
2. The income effect describes how a price change impacts purchasing power (income-related demand change).
3. A shift of the entire demand curve (different quantities at all prices) is a change in demand.
4. Substitutes are products where a price increase for one raises demand for the other.
5. Complements are products where a price increase for one lowers demand for the other.

Answer:

1. B. Change in quantity demanded
2. D. Income effect
3. A. Change in demand
4. E. substitutes
5. C. Complements