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Kings wanted to control the Silk Route so that they could benefit from taxes, tributes and gifts that were brought by traders travelling along the route.
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Preeti Dabral 3 years ago
A federal government is one in which the powers of government are divided between a central government and several local governments. An authority superior to both the central and local governments make this division of powers on a geographic basis, which cannot be changed by either the local or national level alone. Both levels of government act directly on the behalf of the people through their own sets of laws, officials, and agencies. For example, in India, power is divided between the government at the Centre and the various State governments.
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Preeti Dabral 3 years ago
Leftward shift of demand curve means decrease in demand. This is caused due to changes in any factor other than the price of its own commodity.
The leftward shift can occur due to the following reasons: -
(i) Decrease in price of substitute good - When there is a decrease in the price of substitute goods, the consumers will start demanding more of the substitue good, as a result demand for our good falls.
For eg. With decrease in price of substitute good (say coffee), demand for the given commodity (say tea) will decrease because the consumer will like to substitute tea for coffee as coffee has become cheaper.
(ii) Increase in Price of complementary good: When price of complementary good (say petrol) rises, the demand for the given commodity (say car) will fall.
(iii) Decrease in the income of the consumer: A fall in income of the consumer will lead to a decrease in demand as there is a direct relationship between income and demand.
(iv) Change in taste: When taste of the consumer shifts against the commodity due to change in fashion or climate the demand of the good falls.
(v) Expectation of future decrease in price: If the consumer expects a fall in the price of a particular commodity in the near future, then he would like to buy lesser quantity of the good.
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Preeti Dabral 3 years ago
Say, for example, at the price of $5 per hot dog, consumers buy two hot dogs per day; the quantity demanded is two. If vendors decide to increase the price of a hot dog to $6, then consumers only purchase one hot dog per day.
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