Answer to Question #144686 in Microeconomics for Azhar

Question

Movement along a fixed demand curve in response to a change in Px is referred as

Answer 1

Movement along the fixed demand curve in response to change in Px is referred to as Change in Quantity Demanded (movement along same demand curve).

We have various determinants of this movement along demand curve. These determinants are:

1.     Price of the commodity in question,

2.     Consumer’s income,

3.     Price of other commodity,

4.     Consumer’s taste,

When either of the above changes, it brings about change in quantity demanded.