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The graph shows a demand curve.

What does the data shown in this graph represent?
A. A decrease in quantity demanded as price decreases
B. An increase in price as quantity demand decreases
C. A decrease in income as quantity demand increases
D. An increase in quantity demand as price decreases

The graph shows a demand curve. What does the data shown in this graph represent? A-example-1

2 Answers

5 votes

Answer: D

Step-by-step explanation:

User Arunendra
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The correct answer is D. An increase in quantity demand as price decreases

Step-by-step explanation:

The graph shows the relationship between price (amount of money to get a product) and demand (quantity of a product consumers are willing to buy). The price of the product is shown in the Y or vertical axis, while the demand is shown in the X or horizontal axis.

Additionally, as the price decreases the demand increases; for example, at the beginning the price is $15.00 and the demand is 0; later when the price is $10.00 the demand increases to 20; and finally, when the price is almost $2.50 the demand is around 45.

This shows the two factors have a negative correlation because as the price decrease the quantity demand increases (Option D), which occurs because at lower prices people more people are willing to afford the product.

User Hernan
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