00:01
So here we're talking about the demand curve.
00:02
Wonderful, right? and conveniently for us, we're thinking about what does it shift the demand curve? and the very first thing is correct.
00:10
If i draw the supply curve, a shift in the supply curve moves us to a different point on the demand curve, right? it changes, it moves us along the demand curve, but the demand curve doesn't change.
00:22
So the answer here is a, the shift in supply moves along.
00:30
Demand it doesn't shift demand right consumers here are simply reacting to the changing market conditions caused by the changing supply a shift in demand requires a structural change on behalf of consumers right changing demand right that's what we should be looking for right we need a structural change when supply shifts there's a structural change in supply and that induces a response in demand, but only a response in the quantity demanded, not the chain, not the whole demand curve, right? so the rest check out as being structural changes, right? arise in income.
01:16
If people have, sorry, in income, right, in income.
01:22
If people have more money, they'll be able to afford more stuff...
