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प्रश्न
State whether the following statement is true or false. Give reasons.
Contraction of demand is the result of a decrease in the number of consumers.
विकल्प
True
False
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उत्तर
This statement is false.
Explanation:
No, a decrease in the number of consumers does not cause demand to contract. Thus, contraction of demand refers to when demand for a commodity falls as the price of the commodity rises.
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संबंधित प्रश्न
What is meant by the contraction in demand?
What does an upward movement along the same demand curve indicate?
Define decrease in demand.
Explain the following diagram:
Distinguish between “movement along the demand curve” and shift of a demand curve.
Define contraction of demand (or decrease in quantity demanded).
What causes an upward movement along a demand curve?
What does a rightward shift of demand curve indicate?
Explain the following diagram.
State whether the following statement is true or false. Give reasons.
An increase in the demand for a commodity is due to a fall in its price.
