Demand

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The law of demand states that as the of a product increases the will , assuming .

The reason for this is that as the price of a product increases people are not able to as much of the product and so are less or able to buy it.

A change in will cause a movement along the demand curve.

A change in any other factor, such as income, the price of a substitute or complement and advertising, will cause a of the demand curve.

An increase in income will cause an in for a good or service. As income increases a person can now to buy more of a good and so the curve will shift to the .

A good is a good that is used instead of another good. An increase in the price of a substitute will mean that the for the original good will . For example an increase in the price a Moro bars will mean the for Mars bars will as the are now when compared with Moro bars.

An increase in advertising will cause an increase in because people are now more to buy the product and the curve will to the right.

A is a good that is used in conjunction with another good. An increase in the price of a complement will cause a in demand for the original good. For example if the price of petrol increases the demand for larger cars will causing the demand curve to shift .