Demand & Supply

This is a Paragraph. Click on "Edit Text" or double click on the text box to start editing the content and make sure to add any relevant details or information that you want to share with your visitors.1.1.3 Demand, supply andmarket equilibriumDemanda) Definition of demand.b) The use of demand curve diagram to show:• changes in price causing movements along ademand curve• shifts indicating increased and decreased demand.c) Factors that may cause a shift in the demand curve,including:• advertising• income• fashion and tastes• price of substitute goods• price of complementary goods• demographic changes.Supplyd) Definition of supply.e) The use of supply curve diagram to show:• changes in price causing movements along a supplycurve• shifts indicating increased and decreased supply.f) Factors that may cause a shift in the supply curve,including:• costs of production• changes in technology• indirect taxes• subsidies• natural factors (natural disasters and weather).Market equilibriumg) Equilibrium price and quantity and how they aredetermined.h) The use of diagrams to show:• how shifts in supply and demand affect equilibriumprice and quantity in real-world situations• excess demand• excess supply.i) Define, calculate and draw excess demand and excesssupply.j) The use of market forces to remove excess supply orexcess demand