The demand curve shifts to the right (indicating an increase in demand) due to several factors. Here are some common ones:
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Increase in Consumer Income: If consumers have more money to spend (for normal goods), demand tends to increase.
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Increase in Population: A larger population means more potential buyers, which can increase demand for goods and services.
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Change in Consumer Preferences: If a product becomes more popular or trendy, demand for that product can increase.
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Increase in the Price of Substitute Goods: If the price of a substitute good rises, consumers might switch to the original good, increasing its demand.
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Decrease in the Price of Complementary Goods: If the price of a good that is often used together (complementary good) decreases, demand for the original good may increase.
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Expectations of Future Prices: If consumers expect prices to rise in the future, they may purchase more now, increasing current demand.
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Seasonal Demand: Certain products experience increased demand based on the time of year (e.g., winter clothing, holiday decorations).
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