Answer to Question #323712 in Microeconomics for Aisha

Question

Q 2: If the price of Pak Suzuki company Swiftcar decreases from Rs 1,700,000 to Rs 1,000,000, keeping other factors constant, it would be termed as movement along the demand curve or shift in the demand curve? Elaborate it graphically?

Answer 1

Since price is decreasing while other factors are constant, this implies a movement along the demand curve.