Movement along demand curve and shift in demand curve with factors causing shift in demand curve.
Movement along demand curve Movement along the demand curve is based on the principle of law of demand. According to this principle, demand increases when price decreases and vice versa versa vice versa versa ,other factors determining the same . Therefore, movement along the demand curve may be defined as a nature of Extension and contraction in demand due to change in price other characters remaining the same. In other words , the moment of the consumer up and down on the same demand curve due to change in price, other factors remaining the same is also defined as movement along the demand curve . It can be explained with the help of following figure: In the above figure initially, consumer is in equilibrium at point 'a' on the demand curve DD when price is OP and quantity is OQ. When price of the commodity increases from OP to OP1, the quantity demanded for the commodity by a consumer decreases from OQ to OQo and the consumer moves from point a to b, it is known as construc...