Which of the following statements is true?

Question

Quizplus · Accepted Answer

An increase in quantity demanded means a movement along a given demand curve, as it indicates a change in the quantity of a good that consumers are willing and able to buy at a particular price. In contrast, an increase in demand means a shift in the entire demand curve, reflecting a change in consumer preferences, income, or other factors that affect the quantity demanded at each price. Option A is incorrect as an increase in demand implies a shift of the demand curve not just a change in the quantity demanded. Option B is false since as the price of a good increases, the quantity demanded ordinarily decreases. Option D is incorrect as an increase in demand implies a shift of the demand curve not just a movement along it. Lastly, option E is incorrect because an increase in demand means that at any price level consumers would be willing to buy more rather than less.

Which of the Following Statements Is True