Non price
determinants:
- consumer
income
- If consumer income increases,
demand for most goods and services will increase. The reverse is also true.
If consumer income decreases, demand for most goods and services will decrease.
For example, if workers at a manufacturing facility sign a new contract that
provides a 5% raise, these workers will have more income and their demand
for goods and services will increase. If Social Security taxes increase for
employees, consumers will have less take-home pay, and as a result, their
demand for goods and services will decrease.