The idea of the Law of Demand, as applied to electric cars, assumes which of the following to be constant?

Question

Quizplus · Accepted Answer

The Law of Demand states that, ceteris paribus (all other factors being constant), as the price of a good or service increases, consumer demand for the good or service will decrease, and vice versa. In the context of electric cars, keeping the price of gasoline cars constant (B) is essential to isolating the effect of the price change of electric cars on their demand. This allows for the examination of consumer behavior in response to electric car pricing without the confounding effect of changes in gasoline car prices.

The Idea of the Law of Demand, as Applied to Electric