The Law of Demand states that there is an inverse relationship between Price and Quantity demanded, other factors remaining constant. A fall in price of a good leads to a rise in its quantity demanded and a rise in the price of a good leads to a decrease in its quantity demanded. However, there may be some cases where the law of demand doesn’t hold i.e when a decrease in price doesn’t result in an increase in quantity demanded and an increase in price doesn’t result in a fall in quantity demanded. In other words, we can say that the demand curve is not downward sloping. It may be an upward sloping curve, which means with a rise in price, quantity demanded also rises and a fall in price results into a fall in quantity demanded, other factors remaining the same. So, what are those cases, also known as exceptions to the demand curve: 1. Veblen Goods Named after an American economist Thorstein Veblen, Veblen goods are certain type of luxury goods which do not obey the law of de
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