Economics: Principles, Problems, and Policies, 19th Edition

Published by McGraw-Hill Education
ISBN 10: 0073511447
ISBN 13: 978-0-07351-144-3

Chapter 3 - Demand, Supply, and Market Equilibrium - Questions: 3a

Answer

The demand would increase and shift to the right because there happened a beneficial change in preferences.

Work Step by Step

When people preferences change towards small in that they are fashionable, the demand for small cars would increase. In other words, cars would be 'trendy' and 'fashionable' so people would demand them more.
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