FIGURE 3.8 Demand Curve Shifted Right With an increase in income, consumers will purchase larger quantities,

pushing demand to the right, and causing the demand curve to shift right.

Summing Up Factors That Change Demand

Figure 3.9 summarizes six factors that can shift demand curves. The direction of the arrows indicates whether

the demand curve shifts represent an increase in demand or a decrease in demand. Notice that a change in the

price of the good or service itself is not listed among the factors that can shift a demand curve. A change in the

price of a good or service causes a movement along a specific demand curve, and it typically leads to some

change in the quantity demanded, but it does not shift the demand curve.

FIGURE 3.9 Factors That Shift Demand Curves (a) A list of factors that can cause an increase in demand from D0 to
D1. (b) The same factors, if their direction is reversed, can cause a decrease in demand from D0 to D1.
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