A. increase in prices of raw materials
B. increase in the size of the population
C. expectation of future price increase
D. change in taste of the consumer
Correct Answer: Option C
C. expectation of future price increase
Explanation
A normal demand curve (which when graphed goes down and to the right) shows that when prices go up, the amount of a good that is demanded goes down. Examples are when the price of gas goes up, people buy less of it and do less driving. … An exceptional demand curve is one wherein the opposite occurs. it is a demand curve rising upwards showing that people buy more when the prices go up. the following are the reasons for an exceptional demand curve;
- Inferior goods/ Giffen goods
- Goods having prestige value
- Price expectation
- Fear of shortage
- Change in income
- Change in fashion
- Basic necessities of life
