One example that can affect demand is changes in consumer income. When people's incomes increase or decrease, it can have a direct impact on their purchasing power and their willingness to spend on goods and services. Higher incomes often result in increased demand for normal goods, luxury goods, and higher-end products, as people have more disposable income to spend. Conversely, lower incomes can lead to reduced demand as individuals and households may need to cut down on their expenses and prioritize essential items.
