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Suppose the price of computers increase. However, people buy more because they expect prices will increase even more.

This is not a violation of the law of demand, because expectations is one of the factors that we keep constant. The demand curve shifted to the left in this case.
This is not a violation of the law of demand, because expectations is one of the factors that we keep constant. The demand curve shifted to the right in this case.
O This is a clear violation of the law of demand because law of demand says people buy more when goods are more expensive goods
This is a clear violation of the law of demand because law of demand says people buy more when goods are less expensive

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The correct answer is that "This is not a violation of the law of demand, because expectations is one of the factors that we keep constant. The demand curve shifted to the right in this case."Suppose the price of computers increase. However, people buy more because they expect prices will increase even more. This is not a violation of the law of demand, because expectations is one of the factors that we keep constant. The demand curve shifted to the right in this case.The law of demand states that when the price of a good rises, the quantity of the good demanded falls, and when the price of a good falls, the quantity of the good demanded rises. In the given situation, the price of computers has increased, but instead of buying less, people are buying more due to the expectations of further increase in price.This isn't a violation of the law of demand, because it is well known that expectations are one of the factors that we keep constant. When the price of a good is expected to rise in the future, consumers tend to buy more of it today. This results in a shift of the demand curve to the right in the present time frame. Hence, this situation is not a violation of the law of demand.

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