Question

in the following table, indicate which factor would shift the demand curve for magic wands.
factor shifts demand curve does not shift demand curve
consumer expectations
consumer incomes
prices of related goods
number of consumers
consumer tastes
price of good
suppose that consumer incomes decrease.
adjust the following graph by shifting either the curve or the blue circle symbol, but not both, to show the effect of the decrease in consumer incomes.

Explanation:

Consumer expectations, consumer incomes, prices of related goods, number of consumers, and consumer tastes are non - price determinants of demand. A change in any of these factors shifts the demand curve. A change in the price of the good itself causes a movement along the demand curve, not a shift. When consumer incomes decrease, for a normal good, the demand decreases and the demand curve shifts to the left.

Answer:

Factor	Shifts Demand Curve	Does Not Shift Demand Curve
Consumer incomes	O
Prices of related goods	O
Number of consumers	O
Consumer tastes	O
Price of good		O

For the graph, shift the demand curve (D) to the left to show the effect of the decrease in consumer incomes.