Which of the following will occur as the price of a good decreases?
A) The demand curve for that good will shift to the left.
B) The demand curve for that good will shift to the right.
C) The quantity demanded for that good will increase.
D) Demand for that good will increase.

Question

Quizplus · Accepted Answer

As the price of a good decreases, the quantity demanded for that good will increase, according to the law of demand. However, this does not necessarily result in a shift of the entire demand curve. Instead, we move along the existing demand curve to a higher quantity demanded point. Therefore, choices A, B, and D are incorrect.

Which of the Following Will Occur as the Price of a Good