ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -The demand curve for a product shifts when consumer tastes change. An increase in the price of a product causes an increase in demand for substitute products and a decrease in demand for the product’s complements. Consumer expectations cause people to demand either more or less of a good.

Detailed explanation-2: -For most goods, called normal goods, if consumer incomes increase, demand will increase and vice versa.

Detailed explanation-3: -Consumer demand is an economic measure of a group’s desire for a product or service based on availability. It represents the buying habits of consumers and helps determine the purchasing trends of specific populations.

Detailed explanation-4: -An increase in demand happens when more is purchased at the same price and the A decrease same quantity is purchased at a higher price. Decrease in demand happens when less is purchased at the same price or the same quantity at a lower price. An increase in demand is denoted by a shift in the demand curve to the right.