Which of the following is true about the demand curve?
A) A demand curve indicates the drop in the average per-unit production cost that comes with accumulated production experience.
B) A demand curve indicates the cost per unit of output in the long run.
C) A demand curve indicates the cost per unit of output in the short run.
D) In a monopoly, the demand curve does not indicate the total market demand resulting from different prices.
E) A demand curve shows the number of units the market will buy in a given time period at different prices that might be charged.

Question

Quizplus · Accepted Answer

The demand curve shows the relationship between the price of a good or service and the quantity demanded by consumers. It indicates the number of units the market will buy in a given time period at different prices that might be charged. It does not indicate production costs or the total market demand in a monopoly.

Which of the Following Is True About the Demand Curve