ECONOMICS
DEMAND
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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it will go up
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it will go down
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it will stay the same
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what does this have to do with the price of tea in China?
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Detailed explanation-1: -Answer and Explanation: If If a consumer knows that a product will be going on sale next week, then they can get the same commodity at a lower price next week. To save the purchasing power, the consumers will not buy the product today, and the current demand for the product decrease.
Detailed explanation-2: -Expectations:-If consumers expect prices to increase in the future they increase their demand today.
Detailed explanation-3: -As a result of this shortage, consumers will offer a higher price for the product. As the price increases, producers are willing to supply more of the good, but the quantity demanded by consumers will decrease.
Detailed explanation-4: -If there is an increase in demand ( D) the demand curve moves to the RIGHT. When we say that the demand curves shift to the right, it means that we have to change the numbers on the demand schedule. For the same prices, the quantities increase. This shifts the curve to the RIGHT.