FIGURE 3-2 -Refer to Figure 3-2.Two Donut Chains in Your Town Are

FIGURE 3-2

-Refer to Figure 3-2.Two donut chains in your town are battling for customers.The manager of the Yum Yum Donut Shop,facing demand curve D₁,has changed donut prices from P₀ to P₁.What do the customers do as a result?

A) They increase purchases at Yum Yum to Q₁.
B) They buy the same quantity of Yum Yum donuts as before the price change.
C) They decrease demand to D₀.
D) They decrease purchases at Yum Yum to Q₀.