Theory of Consumer Demand
Topic Discussed
- Application of Indifference curve Analysis
- Equivalent Variation
- Excise Subsidy or Lump sum Income Subsidy
8.Price, Income and Substitution Effects (IES 2010, 2011, 2012, 2016, 2017)
Topic Discussed:
- Income and Substitution Effect of a fall in price of X
- Slutskian Approach
- Comparison of Slutskian and Hicksian Methods
- Effects of a price change for inferior goods
- Effect of a price change for a Giffen goods
- Giffen’s Paradox
- Inferior Goods
Past Year Questions Discussed in this class/ recording :
IES 2011, Q 2
IES 2017, Q 1 (b)
IES 2012, Q 2
IES 2012, Q 1 (e)