Advertisements
Advertisements
Question
What causes a downward movement along a demand curve?
Advertisements
Solution
Expansion of demand results in downward movement along the same demand curve.
APPEARS IN
RELATED QUESTIONS
Explain the difference between (i) inferior goods and normal goods and (ii) cardinal utility and ordinal utility. Give example in each case.
Outline the steps taken in deriving Consumption Curve from the Saving Curve. Use diagram.
Differentiate between the expansion of demand and an increase in demand, using diagrams.
Give any three factors that can cause a rightward shift of the demand curve.
Match the following and select the correct option.
| Column A | Column B | ||
| (i) | Extention of demand | A. | Prices are expected to rise in future |
| (ii) | Decrease in demand | B. | Rise in price |
| (iii) | Contraction of demand | C. | Prices are expected to fall in future |
| (iv) | Increase in demand | D. | Fall in prices |
| Price in (₹) | Quantity demanded (units) |
| 20 | 100 |
| 25 | 70 |
The above example represents a situation of ______.
In order to encourage tourism in Goa, Government of India suggests to Indian Airlines to reduce air fare to Goa from four major cities - Chennai, Kolkata, Mumbai and New Delhi. If the Indian Airlines reduces the air fare to Goa, how will this affect the market demand curve for air travel to Goa?
What is meant by expansion of demand?
Which statement correctly describes a shift of the demand curve?
What should you check first to decide if a demand change is a movement or a shift?
