Final answer:
The law of demand describes an inverse relationship between price and quantity demanded, meaning that consumer demand decreases when the price increases, making option C the correct answer.
Step-by-step explanation:
According to the law of demand, consumer demand for a product will decrease if the product's price increases. This law suggests an inverse relationship between price and quantity demanded. When prices rise, the opportunity cost of purchasing that item also increases, leading consumers to decrease their buying or look for alternatives. This is because, as the price of a good or service goes up, consumers are more likely to forgo the consumption of this more expensive item in favor of something else that they value more.
For instance, if the price of a gallon of gasoline were to rise, individuals might start using carpooling or public transit more often, or plan activities that require less traveling. This behavior change occurs because the higher price makes consumers re-evaluate their need for that good based on the increased cost. The quantity demanded of the good subsequently decreases because consumers make the decision to purchase less or not at all.
Therefore, the correct answer from the offered options is C. the product's price increases.