In the production of wheat, the law of demand
A) states that buyers will purchase more wheat as the price decreases.
B) reflects the farmer's desire to increase wheat production.
C) comes into play when farmers produce a bumper crop of wheat.
D) refers to the exchange process between the farmer and the buyer of wheat.
E) states that at very high prices, there will be no supply.

Question

Quizplus · Accepted Answer

The law of demand states that as the price of a good or service decreases, the quantity demanded will increase, all other factors being equal. Thus, as the price of wheat decreases, buyers will demand more wheat. This is a fundamental principle in the market for wheat, and it reflects the basic economic concept of the relationship between price and demand.

In the Production of Wheat, the Law of Demand