Assuming a downward-sloping demand curve, a change in price, all held constant:a. May or may not result in a change in quantity demanded. b. Generates a change in quantity demanded and a change in demand. c. Generates a change in demand. d. Generates a change in quantity demanded.

Question

Aldo Moody

Business

21 October, 10:10

Assuming a downward-sloping demand curve, a change in price, all held constant:a. May or may not result in a change in quantity demanded. b. Generates a change in quantity demanded and a change in demand. c. Generates a change in demand. d. Generates a change in quantity demanded.

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Answers (1)

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Kenya Wilkins · Answer 1

d. Generates a change in quantity demanded.

Explanation:

Because in this case only the price is changing and all other factors are held constant the demand curve will not move and any movement that will take place will be along the demand curve. If the price increases the quantity demanded will decrease and if the price decreases the quantity demanded will increase, the reason for this is that the demand curve is downward sloping, therefore a price change will only change the quantity demanded.