What happens to the demand curve when a non-price determinant of demand changes?
A) The demand curve shifts to the left or to the right.
B) There is a movement along the demand curve.
C) The consumer moves to a different price point.
D) The demand curve does not change when a non-price determinant of demand changes.

Question

Quizplus · Accepted Answer

Non-price determinants of demand such as income or tastes and preferences can cause the entire demand curve to shift to the left or right, indicating a change in the quantity demanded at every possible price point. Therefore, the correct answer is A, the demand curve shifts to the left or right.

What Happens to the Demand Curve When a Non-Price Determinant