 And the topic is compensated demand curve. What is compensated demand curve before going to this? We will just say that the consumer is having the same consumer demand function that is the function of price of own commodity price of the other commodities and with the given amount of the income. And we are going to have assessment that what will be the change in the quantity demanded through the change in the price. So to solve this problem we are having not only one way we can have many other methods that we are going to draw and one method in the Martialian approach that we have utilized that there will be no change in the nominal income. It means whatever the change in the price we will keep the utility level of the consumer constant but there will be no change in the nominal income rather real income will be change. But when we come up we can say that there can be various other methods that now we can say there is a one standard demand curve that was Martialian that there was one and other that is the Hixian demand curve that is the called compensated and there can be the Slutsky demand curve. So today that we are going to decide that is the compensated and here we see that when the utility of a consumer it change there can be the possibility that the price of X it decrease. So if commodity price decrease then it provides the consumer an opportunity so that now the consumer can move to the higher level of the indifference curve because now consumer is having some amount of the income left to him. So this price of X decrease will actually provide some added purchasing power to the consumer. And so here we assume that the nominal income is held constant that whatever the budget the consumer was having in his hand we are not going to change. If there is the change that is in the form of the change in the real income or the change in the purchasing power. Likewise if now the price of X increases with the increase in the price of the X now the consumer will have a decline in their purchasing power. So with the decrease in the purchasing power now consumer will respond through an adjustment and through that adjustment he will intend to move a lower indifference curve. Now coming to this point we can say that there is always an alternative approach to this and that alternative approach is like this that if price of a commodity decreases and consumer is having now some amount in his hand in the form of increased real income then what compensation we can have we can take that amount away from the consumer. If price of the commodity increases that requires that the now consumer has to spend more if he has to maintain his utility level constant. So in this way consumer utility level can be kept constant. When we treat the consumer in this way it means we will compensate the consumer for any price change either positive compensation or either negative compensation. So the consumer will maintain its existing utility condition or the utility curve. So when we compensate the consumer it becomes the compensated demand curve and that compensated demand curve is shown in the form of the same parameters that the price of x, price of y. But here the amount of the income that we have assumed in the form of the Martialian demand function instead of that we say now the demand of the consumer it depends upon the price factors vectors all and the utility vector that has to be kept constant. When we show in the form of the diagram now we see that the consumer was having this type of the function and here it was possible to assess that the consumer was having at this bundle we see that this was the amount of price of y and at this point this price of y and f and here this so when there was the change in the prices and we say that the price of the other commodity has not changed rather only the price of x has changed it means now the slope has changed. So with the change in slope if we have to assess we see that the consumer is having this type of the compensated demand function and this compensated demand function now tells us that if we are considering this original budget demand function and this the Martialian demand function there is only difference in the form of the slope because if we consider this central part we see that the compensated demand curve that it will be having a steeper slope as compared to the Martialian demand function because compensated demand function it includes all the compensation to the consumer for his change in the real income. So when we compensate him for the change in the real income it means the income effect that the consumer was facing due to the change in the price that is now being compensated after that compensation now the actual response that the consumer expresses is only and only the substitution effect. So the Ixian demand or this compensated demand function it exhibits only through the substitution effect as compared to other that was have the substitution effect plus income effect. So in the compensated demand curves we see that there may be the change in the various prices above or the low but what we see that this price change will be compensated by the change in the income that will be the compensation to the consumer in the form of the change in the nominal income. So in compensated functions nominal income will not be maintained same rather it will vary.