Non-Price Determinants of
Demand (PPINT)
Pe -- expected price
Pog -- price of other goods
1) substitute
goods
2) complementary goods
3) independent goods
I -- income
1) normal goods
2) inferior goods
N -- number of POTENTIAL
consumers
T -- tastes and preferences
Non-Price Determinants of Supply
(PPPTTN)
Pe -- expected price
Pog -- price of other goods produced by same firm
Pres -- price of resources
T --technology
T --taxes and subsidies
N -- number of producers/sellers
NON-PRICE DETERMINANTS OF
DEMAND
Pe -- expected
price
Pe in the future
D today
Pe in the future
D today
Pog -- price of other
goods
1) substitute goods
P Maxwell House coffee
D Folgers coffee
P of one product
D of its substitute
2) complementary goods
P of wieners
D of buns
P of one product
D of its compliment
I -- income
1) normal goods
Income
D for normal goods
Income
D for normal goods
2) inferior goods
Income
D for inferior goods
Income
D for inferior goods
Npot -- number of POTENTIAL
consumers
Npot
D
Npot
D
T -- tastes and
preferences
Tastes for a product
D for that product
Tastes for a product
D for that product
NON-PRICE DETERMINANTS OF
SUPPLY
Pe -- expected
price
Pe in the future
S today
Pe in the future
S today
Pog -- price of other goods also
produced by the same firm
P soybeans
S corn
P soybeans
S corn
Pres -- price of
resources
worker's wages
cost of making cars
S cars
Pres
costs
S
Pres
costs
S
Tech --technology
Improved technology
costs
S
Tax --taxes and
subsidies
Taxes
costs
S
Taxes
costs
S
Subsidies
costs
S
Subsidies
costs
S
N -- number of
producers/sellers
Nproducers
S
Nproducers
S
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