[amp_mcq option1=”make the demand remain constant” option2=”reduce the demand” option3=”increase the demand” option4=”change demand in an abnormal way” correct=”option2″]
The correct answer is: B. reduce the demand.
A Giffen good is a good for which the demand increases as the price increases. This is because the good is a necessity for the consumer and they are willing to pay more for it as their income decreases. In the case of bajra, a fall in its price would make it less affordable for low-income consumers, who would then switch to other, cheaper foods. This would lead to a decrease in the demand for bajra.
Option A is incorrect because the demand for a Giffen good does not remain constant as the price changes.
Option C is incorrect because the demand for a Giffen good decreases as the price decreases.
Option D is incorrect because the demand for a Giffen good changes in an abnormal way, as opposed to the normal way in which demand changes with price.