The bus fare between two cities is reduced- How will this affect the demand curve bus travel between the two cities-

Question

Toppr Admin · Accepted Answer

In the above graph- P is the initial price and Q is the initial quantity demanded-P1- Required priceQ1- Increased quantity demanded-If bus fare falls- then demand increases for between two cities- Along with the same demand curve- it shifts downward which represents extension of demand-

The bus fare between two cities is reduced. How will this affect the demand curve for bus travel between the two cities?

In the above graph, P is the initial price and Q is the initial quantity demanded.

P1- Required price
Q1- Increased quantity demanded.

If bus fare falls, then demand increases for between two cities. Along with the same demand curve, it shifts downward which represents extension of demand.

The bus fare between two cities is reduced. How will this affect the demand curve for bus travel between the two cities?

In the above graph, P is the initial price and Q is the initial quantity demanded. P1- Required priceQ1- Increased quantity demanded. If bus fare falls, then demand increases for between two cities. Along with the same demand curve, it shifts downward which represents extension of demand.

In the above graph, P is the initial price and Q is the initial quantity demanded.

P1- Required price
Q1- Increased quantity demanded.

If bus fare falls, then demand increases for between two cities. Along with the same demand curve, it shifts downward which represents extension of demand.