The demand curve for a typical good has
A)a negative slope because consumers purchase less of the good as the price rises.
B)a negative slope because the supply of the good rises as demand rises.
C)a negative slope because the good has less "snob appeal" as its price falls.
D)a positive slope because as the price goes up, the good has more profitability.
E)a positive slope because price is a clear indicator of need.

Question

Quizplus · Accepted Answer

The law of demand suggests that as the price of a good rises, the quantity demanded by consumers decreases. Therefore, the demand curve for a typical good will have a negative slope.

The Demand Curve for a Typical Good Has