Each point on a demand curve shows the quantity. The demand curve therefore shows the product.
A) maximum; cost
B) minimum; value
C) minimum; cost
D) equilibrium; equilibrium price
E) maximum; value

Question

Each point on a demand curve shows the quantity. The demand curve therefore shows the product.  
A) maximum; cost 
B) minimum; value 
C) minimum; cost 
D) equilibrium; equilibrium price 
E) maximum; value

Quizplus · Accepted Answer

Each point on the demand curve shows the maximum value that consumers are willing to pay for a certain quantity of the product. Therefore, the demand curve shows the maximum value that consumers place on the product at each quantity, making the correct answer choice E, which says that the demand curve shows the maximum value.

Each Point on a Demand Curve Shows the Quantity