Answered step by step
Verified Expert Solution
Question
1 Approved Answer
f4. If, we say, the price of cars rises and they become expensive, the demand for them will fall and so will the demand for
\f4. If, we say, the price of cars rises and they become expensive, the demand for them will fall and so will the demand for petrol. 0n the contrary, if the price of cars falls and they become cheaper, the demand for them will increase and so will the demand for petrol. Do you think the given premise is slightly correct or not? Explain and you can prove it in many ways citing the necessary proof of justifying your answer. 5. When there is a change in the tastes of consumers in favour of a commodity, say due to fashion, its demand will rise, with no change in its price, in the Demand Schedule prices of other commodities, and in the income of the consumer. On the other hand, change in tastes against a commodity leads to a fall in its demand, other factors affecting demand remaining unchanged. Why? Explain in analyzing the table below of demand schedule?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started