Law of Demand

What does the law of demand say

• consumers will buy less of something when the price goes down.

• consumers will buy more of something when price increases.

• consumers will buy more of something when prices decrease.

• demand will balance supply

Consumers are

• people who sell goods and services.

• people who buy goods and services

• people who consume food.

• people who consume wealth

In which way can demand be shown, with

• a demand schedule chart.

• a demand curve graph.

• both a demand schedule and a demand curve

• using the formula D + E =DE

What determines the price of a good or service?

• Demand only

• Supply only

• Supply and demand

• Neither supply nor demand

Demand means

• is the price that is demanded by consumers.

• is the amount of a good or service produced.

• the amount of a good or service that consumers are willing to buy.

• it balances supply

If the price of a good or service increases, what will happen to the demand for it?

• increases

• decreases

• stays the same

• illustrates incentive

A factor that can change the amount demanded for a good would be

• income

• population

• consumer taste

• all of the other options

If a good becomes popular or fashionable, what will happen with the demand for the good?

• Stays the same

• Decrease

• Increase

• marginal utility

If demand for one complementary good like a printer decreases what would happen with the demand for ink cartridges?

• increase

• decrease

• stays the same

• profit motive

Regarding substitute goods, if the price of Sprite increases, what will happen with the demand for a substitute good like 7-UP?

• Decrease

• Increase

• Stays the same

• Complements