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Eduncle posted an MCQ
October 20, 2019 • 15:24 pm 0 points
  • UGC NET
  • Economics

The demand for rare paintings, and rare stamps etc. is explained by which among the following effect ?

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    Eduncle Best Answer

    In microeconomics, the snob effect is a phenomenon referring to the situation where the demand for a certain good by individuals of a higher income level is inversely related to the demand for the good by individuals of a lower income level.The "snob effect" contrasts most other microeconomic models, in that the demand curve can have a positive slope, rather than the typical negatively sloped demand curve of normal goods.

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