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If with the rise in price of good Y, demand for good X rises, the two goods are: - Economic Applications

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प्रश्न

If with the rise in price of good Y, demand for good X rises, the two goods are:

विकल्प

  • Substitutes

  • Complements

  • Not related

  • Jointly

MCQ
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उत्तर

Substitutes

Explanation:

If the demand for good X rises with an increase in the price of good Y, it indicates that the two goods are substitutes. Substitute goods are those that can be used in place of each other. When the price of one good increases, consumers tend to buy more of the other good, which is now relatively cheaper. For example, if the price of tea (good Y) rises, the demand for coffee (good X) might increase as consumers switch to the cheaper alternative.

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अध्याय 1: Elementary Theory of Demand - QUESTIONS [पृष्ठ १७]

APPEARS IN

गोयल ब्रदर्स प्रकाशन Economic Applications [English] Class 10 ICSE
अध्याय 1 Elementary Theory of Demand
QUESTIONS | Q 10. | पृष्ठ १७
गोयल ब्रदर्स प्रकाशन Economics [English] Class 10 ICSE
अध्याय 2 Elementary Theory of Demand
QUESTIONS | Q 10. | पृष्ठ ५५

संबंधित प्रश्न

Symbolically, the functional relationship between Demand and Price can be expressed as ______.


Find the odd word

Assumptions to law of demand -


State with reason whether you agree or disagree with the following statement.

There is an inverse relationship between price and demand.


Increase in demand is caused by


Distinguish between extension and contraction of demand.


Explain the law of demand.


State with reason whether you agree or disagree with the following statement :

When price of Giffen goods fall, the demand for it increases.


The following table shows the demand schedule for 3 consumers in a market.

Price in (Rs) Consumer 1 Demand in (kgs) Consumer 2 Demand in (kgs) Consumer 3 Demand in (kgs) Market Demand
10 1 2 (i) ______ 6
8 2 (ii) ______ 4 9
6 3 4 5 12
5 4 5 6 (iii) ______

Based on the above hypothetical schedule answer the following questions.

  1. What is the demand of Consumer 3 priced at Rs 10 (i)
  2. What is the demand of Consumer 2 priced at Rs 8 (ii)
  3. Calculate the total market demand priced at Rs 4 (iii)
  4. From the above given table examine the relationship between price and demand.
  5. Mention any one exception to the law of demand.

Giffen goods are richman's goods


If prices of cars rise, many people may put off buying a new car. So the demand for petrol will fall.


If a good is inferior good, then purchases of that good will decrease when ______.


Pick the option which does not belong to the group:


State the law of demand.


What does the term "ceteris paribus" mean in relation to the Law of Demand?


Which of the following is NOT an assumption of the Law of Demand ?


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