Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Micro Economics: Theory of Consumer behaviour

Question:

When due to change in price of commodity itself alone, quantity demanded of a commodity changes, what do we term it as?

Options:

movement along the demand curve

shifting of the demand curve

extension of demand

increase in demand

Correct Answer:

movement along the demand curve

Explanation:

Changes in the demand for a commodity can be classified in 2 ways:

  1. shift in the demand curve- changes due to factors other than price
  2. movement along the demand curve- changes caused due to price