Distinguish between 'increase in demand and 'increase in quantity demanded' of a good.

P1 = 4, Q1 = 25 P2 = 5, Q2 = 20 ΔP = P2 - P1 = 5 - 4 = 1 ΔQ = Q2 - Q1 = 20 - 25 =...

X and Y goods are substitute goods.

It is called contraction of demand.

(i) If with fall in the price of X, demand for good Y rises, they are complementary goods. For example: Car and petrol. When price of car decreases, demand for...

Individuals demand refers to the quantity of a good, single consumer is willing to buy, at a price during a period of time while market demand refers to the quantity...

Demand by in individual refers to the quantity of a good that the consumer is willing to buy at a price during a period of time. While market demand refers...

(i) When with the rise in income of the consumer demand for the increase, that good is a normal good for that consumer. If with rise in income demand for...

(a) Related goods are of two types, Substitute goods and Complementary goods. (i) In case of substitute goods: When price of one commodity falls, demand for other commodity declines, e.g.,...

These are three possibilities: (i) If the relative (percentage) increase in demand is greater than the increase in supply, price will rise. The price will rise because of excess demand in...

(i) Goods purchased for consumption or investment are final goods purchased for completely using up in production during the year or for resale are intermediate goods. (ii) Goods purchased for...