Figure 4.2

-Refer to Figure 4.2. The demand curve E is most likely to represent the
A) demand for heroin by a drug addict.
B) market demand for wheat.
C) demand for one orchard's apples.
D) demand for a particular brand of breakfast cereal.
E) demand for air conditioning during a hot summer.

Question

Figure 4.2
 
-Refer to Figure 4.2. The demand curve E is most likely to represent the
A) demand for heroin by a drug addict. 
B) market demand for wheat. 
C) demand for one orchard's apples. 
D) demand for a particular brand of breakfast cereal. 
E) demand for air conditioning during a hot summer.

Quizplus · Accepted Answer

The demand curve E represents the demand for one specific producer's apples, as evidenced by the fact that it intersects the vertical axis at a positive price (indicating that the consumer is willing to pay for this particular producer's apples even when the price is zero), and that it slopes downwards (indicating that as the price of this particular producer's apples increases, the quantity demanded decreases). The other answer choices either do not fit this description or cannot be determined from the information given.

Figure 4.2 -Refer to Figure 4.2. the Demand Curve E Is Most