Which statement best explains the law of demand?

A. The quantity demanded by consumers increases as prices rise, then decreases as prices fall.

D. The quantity demanded by consumers decreases as prices rise, then increases as prices fall.

C. The quantity demanded by producers increases as prices rise, then decreases as prices fall.

D. The quantity demanded by producers decreases as prices rise, then increases as prices fall.

Question

Erik White

History

12 December, 14:34

Which statement best explains the law of demand?

A. The quantity demanded by consumers increases as prices rise, then decreases as prices fall.

D. The quantity demanded by consumers decreases as prices rise, then increases as prices fall.

C. The quantity demanded by producers increases as prices rise, then decreases as prices fall.

D. The quantity demanded by producers decreases as prices rise, then increases as prices fall.

+2

Answers (2)

Know the Answer?

Kayden Tran · Answer 1

The correct answer is

D. The quantity demanded by consumers decreases as prices rise, then increases as prices fall.

If the price increases then the sales decrease and vice versa, if the price decreases then the sales increase. For example, if your bread price increases you will not be able to buy the same amount of bread as before so you will buy less bread since your paycheck would not change.

Mccarty · Answer 2

Answer choice A is the correct answer choice. I just took the test!