The Law Of Demand

The graph shows a demand curve. What changes does the graph show?

(NOT) an increase in demand, a stable demand and an increase in price

Microeconomics is the study of the economic interactions between

Consumers and producers

Which best explains how the law of demand affects consumers?

It helps consumers tell producers when prices are too high.

The graph shows a demand curve. . Which most likely accounts for the changes shown on the demand curve?

More consumers want a product.

A factor that most influences changes in consumer demand is

Price

Maria purchases a premium brand of coffee at the grocery store for $8. Which would be considered a substitute good?

a lower-priced brand of coffee

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

an increase in quantity demanded as prices decrease

The law of demand applies most directly to which group?

buyers

An example of complementary goods would be

computers and printers.

Consumers create demand for

goods and services.

According to the law of demand, as prices decrease, the quantity demanded

increases.

Which best describes a reason that consumer demand can change?

loss of income

A demand curve shows how changes in

prices affect the consumer demand.

Products whose demand rises when another product's price increases are called

substitute goods.

Consumer demand is defined as

the willingness and ability people have to buy a good.