Economy, asked by premaryan, 1 year ago

What is extension and increase in demand????

Answers

Answered by ryankim7076
2

Expansion in Demand: Expansion in demand refers to a rise in the quantity demanded due to a fall in the price of commodity. other factors remaining constant. It leads to a downward movement along the same demand curve.

Answered by brainlystargirl
2
Heya....

"""" EXTENSION OF DEMAND ....

** Meaning

It refers to the movement along with demand curve and change in quantity demanded...

** Reason

It occurs due to change in own price of the commodity and the factors of demand remains constant....

** Effect

It creates downward movement along with the demand curve....

""" INCREASE IN DEMAND....

** Meaning

It creates the shift in demand curve and change the total demand....

** Reason

It occurs due to change in all the determinants of demand except own price of the commodity....

** Effect...

It creates a rightwards shift along with the demand curve....

-- Be Brainly....
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