Final answer:
The question relates to how changes in price affect the quantity of a good that can be purchased and factors that shift the demand curve. An increase in price can decrease the quantity demanded, and several factors, such as changes in popularity, population, income, and prices of substitutes, can shift the demand curve toward or away from the origin.
Step-by-step explanation:
When the price of a good increases, consumers are able to purchase less of it, assuming their income and preferences remain the same. This scenario is often illustrated on a demand curve, where an increase in price results in a movement up the demand curve, leading to a decrease in the quantity demanded. Additionally, various factors can shift the entire demand curve. A shift towards the origin represents a decrease in demand, which can be caused by a combination of factors:
- Taste shift to lesser popularity
- The population likely to buy the good decreases
- Income levels decline for consumers of a normal good
- The price of substitute goods decreases
Conversely, if these factors move in the opposite direction, such as tastes shifting to greater popularity or an increase in the population that is likely to buy, the demand curve shifts away from the origin, indicating an increase in demand.