Adding the quantities demanded by all consumers at every price will yield
A) the market-clearing price.
B) the number of consumers.
C) the total substitution effect from a price change.
D) the market demand curve.

Question

Quizplus · Accepted Answer

Adding the quantities demanded by all consumers at every price will yield the market demand curve. Therefore, option D is the correct choice. Option A is incorrect because the market-clearing price is the price at which the quantity demanded equals the quantity supplied. Option B is incorrect because adding the quantities demanded does not give any information about the number of consumers. Option C is incorrect because it refers to the total substitution effect, which is not related to the total quantity demanded by all consumers.

Adding the Quantities Demanded by All Consumers at Every Price