Law of Demand

What do we call goods that are often used together, so that an increase in the price of one leads to a decrease in demand for the other?

• Substitute goods

• Complementary goods

• Normal goods

• Inferior goods

How does an increase in consumer expectations of future prices impact current demand?

• Current demand increases

• Current demand decreases

• Current demand remains unchanged

• Current demand becomes more elastic

What is the name for the graphical representation of the relationship between price and quantity demanded?

• Demand schedule

• Supply curve

• Demand curve

• Market equilibrium

If there is an increase in the price of a substitute good, what would happen to the demand for the original good?

• It would increase

• It would decrease

• It would remain unchanged

• It would depend on the income of consumers

When there is a positive change in consumers' tastes and preferences for a product, what is likely to happen to the demand for that product?

• Demand will increase

• Demand will decrease

• Demand will remain unchanged

• Demand will become more elastic