ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Demand will be influenced by the taste and preference of the consumer positively. If the tastes and preferences are positive then demand will be increased and vice versa.

Detailed explanation-2: -The five determinants of demand are consumer taste, the number of buyers in the market, consumer income, the price of related goods, and consumer expectations.

Detailed explanation-3: -An important factor which determines demand for a good is the tastes and preferences of the consumers for it. A good for which consumers’ tastes and preferences are greater, its demand would be large and its demand curve will lie at a higher level.

Detailed explanation-4: -Changes in tastes of consumers shift the demand curve. If consumer tastes change so that they like a product more, the demand curve shifts to the right. This is because consumers now want to buy more of the product at all prices.

Detailed explanation-5: -The tastes and preferences of consumers are affected due to various factors, such as life styles, customs, common habits, and change in fashion, standard of living, religious values, age, and sex. ADVERTISEMENTS: A change in any of these factors leads to change in the tastes and preferences of consumers.