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Illustrate and discuss the effect of an increase in the taste of shoes on the demand...

Illustrate and discuss the effect of an increase in the taste of shoes on the demand for shoes

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Tastes and preferences are demand determinants. If there is an increase in tastes and preferences of shoes, then the demand curve for shoes will shift to the right. The equilibrium price and quantity of shoes will increase.

In the diagram showing the market for shoes, the demand curve is D and supply curve is S. The equilibrium price is p0 and quantity is q0. This is determined by the intersection of D and S curves. When there is an increase in tastes and preferences. The demand curve shifts to the right (D1). The new equilibrium price rises to p1 and quantity to q1.

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