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प्रश्न
Explain briefly anyone determinant of an exceptional demand curve.
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उत्तर
The bandwagon effect is an exception to the law of demand, as price and demand do not move in opposite directions. The bandwagon effect means that a consumer’s demand for a commodity gets influenced by the taste and preference of the social class to which the consumer belongs. For example, a businessman may increase the demand for golf balls in order to show that he is a successful businessman.
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संबंधित प्रश्न
State with reason whether you agree or disagree with the following statement:
When the price of Giffen goods falls, the demand for it increases.
State with reason whether you agree or disagree with the following statement:
There are no exceptions to the law of demand.
‘Price is an indicator of quality.’ The statement applies to ______.
State with reason whether you agree or disagree with the following statement:
When price of Giffen goods fall, the demand for it increases.
In which exception to the law of demand does the consumer equate price and quality.
“The inverse relationship between price and quantity demanded does not hold good in many cases.”
- Justify the above as Yes or No.
- If justified, explain in brief the Giffen Effect.
Mention one exception to the law of demand. Give one point only.
Give one point each of similarity and dissimilarity between Giffen goods and Veblen goods.
Explain the following diagram with reference to the concept of Giffen goods.
Which exception to the law of demand is primarily based on consumer beliefs about product quality?
