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What will be the effect on demand for cars, if petrol becomes expensive? - Economics

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प्रश्न

What will be the effect on demand for cars, if petrol becomes expensive?

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उत्तर

If petrol becomes more expensive, demand for automobiles will decrease since automobiles and petrol are complementary items. As a result, when petrol prices rise, customers desire fewer cars. On the contrary, as the price of petrol declines, more vehicles are purchased.

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Determinants of Demand - Market Demand Function
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अध्याय 2: Elementary Theory of Demand - QUESTIONS [पृष्ठ ५७]

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गोयल ब्रदर्स प्रकाशन Economics [English] Class 10 ICSE
अध्याय 2 Elementary Theory of Demand
QUESTIONS | Q 16. (b) | पृष्ठ ५७
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