Question

Individual demand schedules of Rakesh and Mohit for ice cream is given below. Derive market demand
schedule for ice cream from the following:
Price of Ice Cream
(per unit)
10
9
8
7
6
Demand of Rakesh
(Units)
1
2
3
4
5
Demand of Mohit
(Units)
2
3
4
5
6​

Answer 1

Answer:

The Law of Demand states that when the price of a commodity falls, its demand increases and when the price of a commodity rises, its demand decreases; other things remaining constant. Thus, there exists an inverse relationship between price and quantity demanded of a commodity. The functional relationship between price and quantity demanded can be represented as Dx = f(Px). Now let us discuss the Demand Schedule in detail.