Question

If the price of the good falls but everything else that affects the willingness of sellers to supply the good is constant, the quantity supplied decreases, but?

1) the quantity demanded increases
2) the quantity demanded decreases
3) the quantity demanded remains constant
4) the quantity demanded becomes zero

Answer 1

When the price of a good falls but everything else that affects the willingness of sellers to supply the good is constant, the quantity supplied decreases, but the quantity demanded increases.

Step-by-step explanation:

When the price of a good falls but everything else that affects the willingness of sellers to supply the good is constant, the quantity supplied decreases. However, the quantity demanded increases.

In economics, the law of demand states that there is an inverse relationship between price and quantity demanded. When the price of a good falls, people are more willing to buy it, resulting in an increase in quantity demanded.

For example, let's say the price of a smartphone decreases. As a result, more people will be willing to buy smartphones, leading to an increase in the quantity demanded.