Respuesta :
If the price of Pepsi decreases, other factors constant, then we'd expect to see a consequent shift of the demand curve for Coke to the left.
The relationship between the cost of an item or service and the quantity demanded over a specific time period is represented graphically by the demand curve. The price and quantity demanded are often represented with the price on the left vertical axis and the horizontal axis, respectively.
Demand curves can be divided into four categories:
- elastic,
- inelastic,
- individual,
- and market curves.
When firms decide on prices, the demand curve can be a crucial instrument. This is so that the demand curve can display both the price at which consumer response declines and the price at which the greatest demand is elicited.
According to the demand curve, there is an inversely proportional relationship between a commodity's price and demand, causing the demand curve to normally slope downward. The impacts of all variables affecting demand outside price are represented by the constant a.
Many variables affect how the demand curve shifts. The shift, for instance, takes place when the demand curve shifts to the right or left. There are several elements that influence the shift:
- The merchandise gains acceptance.
- The price of things has increased.
- The cost of the additional goods and services rises.
- The incomes produced are increasing.
The supply and demand curve subsequently shifts as a result of all the aforementioned causes.
To know more about demand curve refer to: https://brainly.com/question/1915798
#SPJ1
