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He _______ states that more of an item will be purchased at a lower price than at a higher price.

a) Law of supply

b) Law of economics

c) Law of demand

d) Law of elasticity

User Bentolor
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Final answer:

The correct answer is the law of demand which states that, if all other factors remain equal, the higher the price of a good, the less people will demand that good. The correct answer is c) Law of demand.

Step-by-step explanation:

The law of demand states that, if all other factors remain equal, the higher the price of a good, the less people will demand that good. In other words, the higher the price, the lower the quantity demanded. The amount of a good that buyers purchase at a higher price is less because as the price of a good goes up, so does the opportunity cost of buying that good.

As a result, people will naturally avoid buying a product that will force them to forgo the consumption of something else they value more. The correct answer is c) Law of demand.

User Vayrex
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