an exceptional demand curve can result from - WAEC Economics 2018 Question
an exceptional demand curve can result from?
A
increase in prices of raw materials
B
increase in the size of the population
C
expectation of future price increase
D
change in taste of the consumer
correct option: c
A normal demand curve (which when graphed goes down and to the right) shows that when prices go up, the amount of a good that is demanded goes down. Examples are when the price of gas goes up, people buy less of it and do less driving. ... An exceptional demand curve is one wherein the opposite occurs. it is a demand curve rising upwards showing that people buy more when the prices go up. the following are the reasons for an exceptional demand curve;
Inferior goods/ Giffen goods
Goods having prestige value
Price expectation
Fear of shortage
Change in income
Change in fashion
Basic necessities of life
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