Suppose at a price of $3, Kerri is willing and able to buy three churros, Tömas is willing and able to buy five churros, and Pristine is willing and able to buy two churros. Assuming these are the only consumers in the market, the quantity demanded at $3 is _____; if the price falls to $2, the quantity demanded is likely to _____.

Question

Quizplus · Accepted Answer

At a price of $3, the total quantity demanded is the sum of churros all individuals are willing and able to buy: 3 (Kerri) + 5 (Tömas) + 2 (Pristine) = 10 churros. If the price falls to $2, the quantity demanded is likely to increase due to the law of demand, which states that, all else equal, as the price of a good falls, the quantity demanded of that good increases.

Suppose at a Price of $3, Kerri Is Willing and Able