Fads refer to products that are of interest because of who else owns them. While this isn't identical to the snob effect, it is similar in that the appeal of the product is how it is perceived by others.

   The product becomes more hip and thus desirable, as it is owned by more people with the appropriate image. This is not an exception to the law of demand. Rather, the result of a downward sloping demand curve continually shifting upward, leading to higher market prices and higher quantities sold, as shown on the graph to the right. Here the shift from D1 to D2 is the result of the increasing popularity of the item in question.

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