The law of demand states that price and quantity demanded are
A) directly related,ceteris paribus.
B) inversely related,ceteris paribus.
C) independent.
D) positively related,ceteris paribus.

Question

Quizplus · Accepted Answer

The law of demand states that price and quantity demanded are inversely related, ceteris paribus. This means that as the price of a good or service increases, the quantity demanded decreases, and vice versa. Other factors that could affect demand such as income, taste, and preferences are held constant (ceteris paribus) in this relationship.

The Law of Demand States That Price and Quantity Demanded