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Normally a household will not buy a seco...

Normally a household will not buy a second-hand scooter even if the price of scooter falls. How we get a downward sloping market demand curve for scooters?

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(i) We know that though an individual may not buy a second-hand scooter even if the price of scooter falls but there may be some individual that could not afford to buy even a second-hand scooter earlier and now with a fall in their price they can afford it now.
(ii) Therefore, the number of consumers of a second-hand scooter increases with a fall in their price leading to an increase in market demand at a lower price.
Thus the market demand curve for scooters will be a downward sloping.
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  10. A good is an inferior good for one and at the same time a 'normal' goo...

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  11. Normally a household will not buy a second-hand scooter even if the pr...

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  12. Give reason that Law of demand does not hold true when the prices are ...

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  13. What does downward movement along the demand curve indicate?

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  14. Give one example when a consumer buys less of a commodity at the same ...

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  15. When a good is called 'Substitute good'?

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  16. Why market demand curve is flatter than individual demand curve ?

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  17. Law of Demand is a :

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  18. A good is an inferior good for one and at the same time a 'normal' goo...

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  19. State any three causes of a leftward shift of a demand curve of a comm...

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  20. What is the impact of the following statements on the demand curve for...

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