Question

The law of demand states that:

i. as the price of a good increases, demand will decrease
ii. as the price of a good decreases, demand will increase
iii. as the price of a good increases, demand will decrease, holding all other factors constant
iv. as the price of a good decreases, demand will increase, holding all other factors constant
v. as the price of a good increases, quantity demanded will decrease
vi. as the price of a good decreases, quantity demanded will increase
vii. as the price of a good increases, quantity demanded will decrease, holding all other factors constant
viii. as the price of a good decreases, quantity demanded will increase, holding all other factors constant
1) i, ii, iii, iv
2) i, ii, v, vi
3) i, ii, vii, viii
4) i, ii, iii, iv, v, vi, vii, viii

Answer 1

The law of demand states that as the price of a good increases, demand will decrease, and as the price decreases, demand will increase. There is an inverse relationship between price and quantity demanded.

Step-by-step explanation:

The law of demand states that as the price of a good increases, demand will decrease. Similarly, as the price of a good decreases, demand will increase, holding all other factors constant. This means that there is an inverse relationship between price and quantity demanded, where a higher price leads to a lower quantity demanded and a lower price leads to a higher quantity demanded.