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प्रश्न
If a good is inferior good, then purchases of that good will decrease when ______.
विकल्प
The supply of it increases
Population increases
Income increases
The price of a substitute rises
उत्तर
If a good is inferior good, then purchases of that good will decrease when income increases.
Explanation:
For an inferior good, as income increases, consumers typically reduce their purchases of that good and instead buy more expensive or higher-quality alternatives.
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संबंधित प्रश्न
Briefly explain any two reasons for the occurrence of the law of demand.
Complete the following statement:
Symbolically, the functional relationship between Demand and Price can be expressed as ______.
The Law of Demand was introduced by ______.
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Distinguish between extension and contraction of demand.
The following table shows the demand schedule for 3 consumers in a market.
| Price in (Rs) | Consumer 1 Demand in (kgs) | Consumer 2 Demand in (kgs) | Consumer 3 Demand in (kgs) | Market Demand |
| 10 | 1 | 2 | (i) ______ | 6 |
| 8 | 2 | (ii) ______ | 4 | 9 |
| 6 | 3 | 4 | 5 | 12 |
| 5 | 4 | 5 | 6 | (iii) ______ |
Based on the above hypothetical schedule answer the following questions.
- What is the demand of Consumer 3 priced at Rs 10 (i)
- What is the demand of Consumer 2 priced at Rs 8 (ii)
- Calculate the total market demand priced at Rs 4 (iii)
- From the above given table examine the relationship between price and demand.
- Mention any one exception to the law of demand.
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