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प्रश्न
If a good is inferior good, then purchases of that good will decrease when ______.
पर्याय
The supply of it increases
Population increases
Income increases
The price of a substitute rises
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उत्तर
If a good is inferior good, then purchases of that good will decrease when income increases.
Explanation:
For an inferior good, as income increases, consumers typically reduce their purchases of that good and instead buy more expensive or higher-quality alternatives.
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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.
Distinguish between extension and contraction of demand.
Explain the law of demand.
Write a statement of the Law of Demand.
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.
- What is the demand of Consumer 3 priced at Rs 10 (i)
- What is the demand of Consumer 2 priced at Rs 8 (ii)
- Calculate the total market demand priced at Rs 4 (iii)
- From the above given table examine the relationship between price and demand.
- Mention any one exception to the law of demand.
If prices of cars rise, many people may put off buying a new car. So the demand for petrol will fall.
According to the Law of Demand, what happens when the price of a commodity decreases, assuming no other factors change?
Which of the following is NOT an assumption of the Law of Demand ?
