Demand Analysis - 3

Demand for consumer goods like clothes, salt, sugar etc. have ______type of demand

• Indirect demand

• Direct demand

• Complementary demand

• Composite demand

Find odd word out: ( Based on types of demand)

• Electricity

• Milk

• Water

• Car & Petrol

Find odd word out: (Based on exceptions & assumptions)

• No change in tastes, habits & preferences

• Ignorance

• Price illusion

• Giffen's paradox

Expensive goods like diamond, gold etc. are examples of _________

• Habitual goods

• Giffen's goods

• Prestige goods

The 'Law of demand' is introduced by ___________

• Adam Smith

• Prof. Alfred Marshall

• J. S. Mill

• David Ricardo

Prestige goods: ________:: Habitual goods: Tea or coffee

• Washing machine

• Diamond

• Television

Rise in demand due to favourable changes in other factors: Increase in demand :: ___________: Expansion in demand .

• Fall in demand due to rise of price alone

• Rise in demand due to fall in price of substitute

• Rise in demand due to fall in price alone

'Although the prices have risen today, the consumer will demand more in anticipation of further rise in price' - this is a situation of ________

• Price illusion

• Speculation

• Ignorance

The demand schedule & curve shows ______ relationship between demand & price

• Inverse

• Direct

• Indirect

find odd statement out: (based on assumption to the Law of Demand )

• There should be no change in taxation policy

• The consumer should have no expectation for future changes in price

• There should be change in size of population