Write about what factors cause \"changes in demand\" or \"changes in supply\" --

Question

Write about what factors cause "changes in demand" or "changes in supply" -- anything that is not the price of the good or service. Then, post ONE example of how the weather, our economy or other factors affect the demand OR supply for a good or service that you know of or that you consume. One well-crafted paragraph will be enough for this topic. The examples I am asking for should refer to a specific increase or decrease in demand, or in supply. Post a message with a title that tells us the topic you are addressing. For example, D2: Demand for bathing suits D2: Demand for cold beverages D2: Supply of outdoor furniture D2:

Explanation / Answer

A change in demand or shift in demand occurs when one of the determinants of demand such as price of the good,· income and wealth,· prices of substitutes and complements, population or preferences changes. A change in supply or shift in supply occurs when one of the determinants of supply such as price of the good · prices of inputs (labor, capital, etc.) · technology · number of firms in the industry changes.

Price of Petrol/Diesel

Since due to the ongoing war/movement in the middle east, the supply of crude oil has increased and since demand of crude oil doesn't change much, so the prices of crude oil decreased and hence price petrol which is the product of Crude oil decreases.

If you don't understand anything then comment, I'ill revert back on the same. :)

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