Advertisements
Advertisements
Question
What causes an upward movement along a demand curve?
Advertisements
Solution
A rise in the price of the good, other things remaining the same, causes an upward movement along a demand curve. An upward movement along a demand curve indicates contraction of demand.
APPEARS IN
RELATED QUESTIONS
What is meant by the contraction in demand?
What is meant by an increase in demand?
If Coke and Fanta are close substitutes to each other, a rise in price of Coke will lead to ______ for Fanta.
With the help of a graph explain the increase in demand concept.
Differentiate between extension and contraction of demand.
Give two reasons for the shift of the demand curve towards the left.
There are train and bus services between New Delhi and Jaipur. Suppose the train fare between the two cities comes down. How will this affect the demand curve for bus travel between the two cities?
With the help of a suitable diagram, distinguish between a change in quantity demanded and a change in demand.
What does a rightward shift of demand curve indicate?
Give two factors responsible for the shift of the demand curve to the right.
