Advertisements
Advertisements
Question
Explain how quantity demanded for commodity X will be affected by An increase in the price of its substitute.
Solution
Quantity demanded of a commodity X will increase with an increase in the price of its substitutes because they will compete for the same market demand.
APPEARS IN
RELATED QUESTIONS
Explain any three factors that affect the demand for a commodity.
What kind of a commodity will have inverse relation between income and demand?
With an increase in income, the consumption of which good, the consumer reduces ______.
Explain the impact on demand of complementary goods.
Differentiate between Giffen goods and inferior goods.
Give the meaning of Price demand.
Give an example of inferior goods.
Give an example of Giffen goods.
Tea and coffee are examples of ______.
Milk can be put to several uses; therefore, it is called as a ______ good.
