Question

Which changes can cause a leftward shift in the demand curve? Also state the change, which causes downward movement along the demand curve?

Answer 1

A leftward shift can result from a fall in the price of a substitute, a rise in the price of a complement, a fall in income for a normal good, a rise in income for an inferior good, tastes moving against the good, a fall in population, or an expectation that its price will fall in the future. A fall in the good’s own price causes downward movement along the same demand curve.