0
An increase in the quantity demanded means that a. price has declined and consumers therefore want to purchase more of the product. b. the demand curve has shifted to the right?
Wiki User
∙ 12y ago
a) price declined. QD as opposed to Just demand refers to movement along the demand curve
Wiki User
∙ 12y ago
Add your answer:
Earn +20 pts
What is an increase in quantity demanded?
what in is an increase in quantity demanded
If the quantity demanded of the products suddenly increases in response to a reduction in the price or if the quantity demand decreases after a price increase what are the consumers are responding to?
Price signals
How is demand and quantity demanded different?
A change in quantity demanded refers to the response of consumers to changes in the PRICES of commodities, ceteris paribus.>> Involves a movement along the demand curve A change in demand refers to an increase or decrease in demand brought about by a change in the conditions of non-price determinants.>> Involves a shift in the demand curve (to the left or right)
Why does the demand curve slope downward in a foreign exchange market?
When foreign exchange rate decreases, the product of that particular country becomes cheaper as its currency depreciates. Therefore, the quantity demanded of that currency will increase as consumers from other nations wish to take advantage of the depreciating currency.
What is regressive demand?
This is condition whereby with increase in the price the quantity demanded also increases therefore the graph slopes from bottom left upwards and has a positive gradient
What is an increase in quantity demanded?
what in is an increase in quantity demanded
If the quantity demanded of the products suddenly increases in response to a reduction in the price or if the quantity demand decreases after a price increase what are the consumers are responding to?
Price signals
How is demand and quantity demanded different?
A change in quantity demanded refers to the response of consumers to changes in the PRICES of commodities, ceteris paribus.>> Involves a movement along the demand curve A change in demand refers to an increase or decrease in demand brought about by a change in the conditions of non-price determinants.>> Involves a shift in the demand curve (to the left or right)
Why does the demand curve slope downward in a foreign exchange market?
When foreign exchange rate decreases, the product of that particular country becomes cheaper as its currency depreciates. Therefore, the quantity demanded of that currency will increase as consumers from other nations wish to take advantage of the depreciating currency.
If the number of producers increase what would happen to the consumers?
there will be an increase in total and market supply, therefore allowing a greater choice to the consumer; that is - you will a greater range of products to choose from! :)
What is regressive demand?
This is condition whereby with increase in the price the quantity demanded also increases therefore the graph slopes from bottom left upwards and has a positive gradient
How does the assembly line benefits consumers?
it allowed the production for the product to increase rapidly. Therefore causing mass production and the price to go down
If the income elasticity of demand for a product is -0.5 then?
Income Elasticity:Income Elasticity of Demand is measure of percentage change in demand for a commodity due to 1% change in income of consumers. Negative Income Elasticity :Increase in Income of consumers lead to decrease in the quantity demanded for a commodity.Example: unbranded items.so if Income Elasticity for product is -0.5 then its demand will be decreases as Income of consumers increases.
What happen to most goods and services when there is an increase in price?
When there is an increase in price, there is a decrease in the quantity demanded.
A reduction in market price will lead to an increase in what?
Quantity demanded
What products will increase in quantity demanded even with price increases?
Goods that have an increase in quantity demanded in response to an increase in price are called Giffen goods. Evidence of the existence of Giffen goods is extremely limited and there are no known examples of Giffen goods.
What does it mean to shift the demand curve to the right?
an increase in quantity demanded.
