An increase in the price of petrol leaves people with less disposable income to buy petrol, hence there is a decrease in the quantity demanded of petrol.

Question

Quizplus · Accepted Answer

An increase in the price of petrol typically leads to a decrease in the quantity demanded due to the law of demand, as people have less disposable income to spend on petrol or may seek alternatives.

An Increase in the Price of Petrol Leaves People with Less