ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Thus, the price of a product and the quantity demanded for that product have an inverse relationship, as stated in the law of demand. An inverse relationship means that higher prices result in lower quantity demand and lower prices result in higher quantity demand.

Detailed explanation-2: -Simply stated, the law of demand says that as the price of a good increases, the quantity of that good or service demanded decreases. Likewise, as the price of a good or service decreases, the quantity of that good or service demanded increases.

Detailed explanation-3: -Economists call this the Law of Demand. If the price goes up, the quantity demanded goes down (but demand itself stays the same). If the price decreases, quantity demanded increases. This is the Law of Demand.

Detailed explanation-4: -Solution. Explanation: Expansion of demand refers to a rise in quantity demanded due to falling in price alone while other factors like tastes, the income of the consumer, size of the population, etc.

Detailed explanation-5: -Greater competition among sellers results in a lower product market price.