Observe the following table and answer the following question
Quantity demanded | ||||
Price per kg in ₹ | Consumer A | Consumer B | Consumer C | Market demand (in kgs.) (A + B + C) |
25 | 16 | 15 | 12 | |
30 | 12 | 11 | 10 | |
35 | 10 | 09 | 08 | |
40 | 08 | 06 | 04 | |
a) Complete the market demand schedule.
b) Draw market demand carve based on above market demand schedule.
SOLUTION: –
a) Complete the market demand schedule.
Quantity demanded | ||||
Price per kg in ₹ | Consumer A | Consumer B | Consumer C | Market demand (in kgs.) (A + B + C) |
25 | 16 | 15 | 12 | 43 |
30 | 12 | 11 | 10 | 33 |
35 | 10 | 09 | 08 | 27 |
40 | 08 | 06 | 04 | 18 |
b) Draw market demand carve based on above market demand schedule.
2. Observe the following table and answer the following question
1) Rightward shift in demand curve …………
2) Leftward shift in demand curve …………
3) Price remains ……….
4) Increase and decrease in demand comes under……….
Solution:
1) Rightward shift in demand curve increase in the quantity demanded.
2) Leftward shift in demand curve decrease in the quantity demanded.
3) Price remains constant.
4) Increase and decrease in demand comes under changes in demand.
3. Explain the Diagram
Diagram ‘A’
1) The diagram represents ………………….. in demand.
2) In the diagram, A movement of the demand curve is in ……………. direction.
Diagram ‘B’
1) The diagram represents ……………… in demand.
2) In the diagram, A movement of the demand curve is in ………….. direction
SOLUTION FOR ‘A’
1) The diagram represents contraction in demand.
2) In the diagram, A movement of the demand curve is in upward direction.
SOLUTION FOR ‘B’
1) The diagram represents expansion in demand.
2) In the diagram, A movement of the demand curve is in downward direction