Answered step by step
Verified Expert Solution
Link Copied!

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

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed
\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

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Rural Development And Urban-Bound Migration In Mexico

Authors: Arthur Silvers, Pierre Crosson

1st Edition

1317270681, 9781317270683

More Books

Students also viewed these Economics questions

Question

What is regression analysis? When would you use it?

Answered: 1 week ago