Chaptex Nam

heory o Damand
Dermand
the aquantihy
Demand may be defined asConsumex
cemmooliky that a at each
able and willinfovesto buy gieo peiod f
pesaible
time. puce
 numbex
ebuyees puce
goods
god freferences Buyex in
Taste
and hceme
change
futiue!
Helated
the of
of
nean Distubutio
of Expectatens
fopulation.
ed
Puice Inceme fn'
the
+
+
|: uice et the pun jood
I} othy factous Oue , demand fer
being egual puce
th fall inn t
eius sith and
coyea. It means thene is ngatie alationahip
these is
b/w puice and demond ou a

a Tasta and frfereees

FaLsuable tast and pufeuerez ovaas ea
he demand foua good andgt uarsab demand
le
taste and putorences deusase the
god!
tasto and puefenens o the cenume
Jhe
ohanges de to change n hia, tchootgy.
tra atons eto.

3. Inceme af the buyet:

a cemmodlty & also ofectd
demand e
Yhe demand
by ireome "bue depenolitg pon whether
t#e good
In cabe oho, mfrio good denmand soes wih
fall in nCeme dhd demand falls wyh a
uise n jncome.
In case s navm al good denan uss w
ise n "nceme and deman d
UNceme.
 Numbex of censumpus /ppulaton
The mauket demand foe a commody
0Lases with
oceases ncueale in number o£
Cen&umes and demand fo a commodiy
decua&es ith oleuese i0 mbe of
Censu es in the maket

5. Puice af Relatid
|theve aue too ypes ef
Subatttt gooda
(a) subhit ke epst and coke te
(b) Cenmplementaly go like tae and petist.
uppssegod X x and yy ane cubathtasill ged.
inoAeaNe
Theh, inbuase pee g90d y
he demand or good and decwase in
utll decne ase in the demard

geod xX and y aHe complnentay

wil deuease the cdehand for
and denease
nuuase in the bmandfon good
6 Expectatims change i pauke q the
cohnmodity
If a buyen epect that pulto ot tbe
emmodu will ne
fouake fofo neat
usil fouae tv
the he ui! ncesase the olemand at he ent
posent
and if he exepk that the puie
Cemmodi iill decuase h tté fitua the he
uill decuase he demand at peseht.
 Distinquish betucen Naemal good and
good.
BASIS NoRMAL G00D NFERIOR (00D
Income It has posftive t has ngative
effect 1Ocene fnceme eet.
elfect
Pefce It has regalve T# has no,
Cfect Palce et.
Example Wheat , ríce Corse grains
etc.
 Distinguish between isbatihle goods and
(enpitncntasy good
BASIS SUBSTTUTE COMPLIMENTR y
Gjo0DS GooDS
Yhese He th yhese ye these
Meaning goods whleh cangools whfch aue
LAed together or
|othen.
fin place of ench jointy.
Yhene is pe&itive heve is negatye
Puce ulatonship belationthpbetn
eflect between pica Dauce f ene
of ene suhstut cenplinentauy gpod
god and demond and demand for
foe anothen. lano theY.
33 CoM and Petuol
Exomples Tec and coffee mobile
Pepsi and coke phone and
ett. battey cte.
 }Individual
Demand
ond putllÛng'atondl of
e Indiidual Market
demondDemand
Mauket the Demand
abillty
duting
cemmmodty
of Demand
guucn
go. all
buyat
paible
each that
hsunersules peuigvenod of Mefes
a
to consumex' to fndividual
the
in Dernand
he
illirgnesa
maket quarnty
tme. &
ab
 6
5. 4 3
43: 1
Prforences
Gfectaton
PopulatiemOR
Incerne and
bye Taste Puce Taste
SpectatInome
bue oB
factors
afeing
Market hdluigal
afestig
of
Factars
Peleneresand,
change
goodt. good
COnsumen
o,
puice
fio neas Demand
near Demand
ftuu
te pl¥e
of against punchaied
ta
beuantty Specipi a
a tosuelu
Demanded Quantity It ’
 demanad quuantity and
jóod fpuiceed. betueen Helationship
is
there then cenatont held ae
if
acta thee othat, stats his
Demand of
Lalaw w
 2
guam
30
oo
300
DD. Sty feice Table
 6 S 4 3 5. 4: 3

cessaties goods
Gife S
Emengency Censumee
Substihtion
Goods
fashion
elatd Causes
No Law Laow
Incone
Efet
of
mbef Diminishing
quilbitm
Efect.

MU
in
in MU
 Cengum
Helationship uelalenship Itis
Toble : between pute Demarnd
e.andIndivtdal
It andit
its is
Schedule
Demand a
a
'quantty table table
Demand demanded
quuanty
Schedule betwen
which Mauket
Demand t which
demandedoe Schedule
Schedule Indiidual
Demand
Schedule puice
2 4 shass shaus

commadiy athe Invese

ofthe
an a
invense Commodity
ndiidual
I Mauket Demand Sehedule
table ohlh shous an fovese
elatenship betseen psice a cem moclity
and itqyuantity demanded for all the
censumeus.

Table
Qx Matket Demand
(onsumer - A ConsA t
Consumer-B ns R
4 5 4 +5=4
3 3+ 4 = 7
3 2 + 3 =5
2 |+ 2 =3

Demand Curve
schedule thát shouK nvese Aelatonahip
between
a emmoaie and t quarsth
domonde
Demand Cusve
Indiudual Demand usve
Mauket Deman uwe
 schecdule Maket
Itas schedule
boween
demandedpuceofIndividual
Demand
Cswe
between
toral
ntal
Sum
ndtotal

the
cnumeHS.Puce foe
e Demand guphic
that
Oheprcsertaten.
a
is andshous
Indiuiduat
censumeu.
shouis
Cuswe douonwayd ’ Mep
t Q2 quantlky Commodliy
D8 an veaentalinan
OAtB îovevee pinsgla ivense
al demanded and
demand f il f
elatenshp Helationshp
yuani dem
and
hy
 ademanded
tu quantity betuetn
nship funct o n uncien
the cheusDemand. Demand
eation DxOyT,T,Pf, ER)
nction Demand Mautet
on DemandIndividual
functien Denand,
mancl mauket
mankt factiusoffecting
and
he"demand mauket between elationship
al to
te sufous functon Demand Maxket
function Demand Mauket 9.
(,I,P.ER) Def Eyuation
i
demand.
al aflectng fatou the anddemand
ualthe he ru ulatimship tunctional
rto
e<uut nctin demand dyidual In
fuoctan Demand dividual In
 cuelue.
denand
kngutn
Also
as the demautaled
Commodity,
It ratous
due It melemt
mouement (du sleng |Movemont
fheuease (due Chang, Chnge
saneleads Expansi
Demandon in to
to change
th8pal"
l e
n
in in
oeperd toothex
ruase in
qluantiy to ncuatekhon Rnounasquanlty
Domand
/5 20 Along
a a Suantiy
daensard ateru to OR
abtt. uiase as
150 loo Extens n ute) cnue the
demanded! contraclibn cemanded
moement
leadsto
fall
in huce).
Gpansion
Moiemant Demanded.Demand
ien the seethoH
inmoemert maining in
quanitity
bemand" the pwand cws
in
clounwanc Cuswe
tonstantpuce Demand
alen olue
s
 Knouon
samedemend
Adso cuse.
l the
constant
mauni due
facbsng Refeus
Pica(2) Contraction
Demandl oie Peice on)
to
15
a Ruantity
tty Rce an
fall
in
o 5 cueasede
m the
g movemert
upwasd
along in
ced
Demand
cdmanded ’
ConstoC puite the
70
erpantion
demand in
(tn (unib qyuantihyf
unft) tion tin '50 >
demanded
quanity Comnodity,othe wnit)
n
demanded
mand
 |Shift n Demancl
OR
uwe
Change in Demand
Changy
Change in denand occwu due to chang
in fac toes othe than uie ad to
ahit n Demond cwwe eften Rihtsand
chilt knewn as ncase o Danard 'du t
favouable chang in othen facbs at the.
pue) ou ditwad shilt eknsun
samepuie)
Deuase in Demano du to wfourakle
ohanga othen factsue at he same ie

Iorease in Demand
Tt RekeN to a use in demand ef a
Cermmoty caused due to any factor
othex than the en phice af h¿ cammodty
PsuiceDemand Pece
on
) Incuae in
(R) (unft) D demand
(00
20+
150

(00 150

Quartthy demanded (in unitt)

 Peuice
()lemand thex o It
Decrease
Comnodiy
than ufoL
(unlb)

sunthe to
feice in ) pme
Cauid a
emand
Quantity
(hunit) Demand
fale in
clue in
(0o Decuae in tothe
D
the
Demand demand any
comodit
factor
of