Question

Demand curve has a negative slope due to which effect

Answer 1

$\bf\underline{Answer :-}$

Demand curve has a negative slope due to income effect.

$\bf\underline{Explanation :-}$

$\bf {Income \:Effect :-}$ When price of a commodity falls, consumer's real income rises that is he can now purchase more of the commodity with the same income.

Demand curve has a negative slope indicating the inverse relationship between quantity demanded and price. This is because a rational consumer will demand more of a commodity when its price falls. And on the other hand, a rational consumer will demand less of a commodity when its price rises.

Answer 2

Answer:

$\large{\underline{\underline{\textsf{\maltese{\red{answer}}}}}}$

When price of a commodity falls, consumer's real income rises that is he can now purchase more of the commodity with the same income.

Demand curve has a negative slope indicating the inverse relationship between quantity demanded and price. This is because a rational consumer will demand more of a commodity when its price falls. And on the other hand, a rational consumer will demand less of a commodity when its price rises.