Question

Remember that the Law of Demand tells us that

A. As P goes up Qd goes up
B. As P goes up Qd goes down
C. As P goes up Qd stays the same
D. As P goes up Qd always becomes more insensitive
E. As P goes up Qd always becomes less sensitive

Answer 1

The Law of Demand states that as the price of a good increases, the quantity demanded of that good decreases.

Step-by-step explanation:

The Law of Demand states that as the price of a good increases, the quantity demanded of that good decreases. This is represented by option B: As P goes up Qd goes down. For example, let's consider the demand for hamburgers. If the price of hamburgers increases, people will be less likely to purchase them because the higher price means that they will have to give up something else they value more. As a

esult, the quantity demanded of hamburgers will decrease. In summary, the Law of Demand tells us that when the price of a good goes up, the quantity demanded of that good goes down.