The law of demand illustrates a(n) ____ relationship between price and ____.

Question

Quizplus · Accepted Answer

The law of demand states that there is an inverse relationship between price and quantity demanded, meaning that as the price of a good or service increases, the quantity demanded decreases, and vice versa. This relationship applies to a specific good or service, not the overall demand for all goods and services. Therefore, choice A and D are incorrect. Choice C is also incorrect because the law of demand specifically refers to the relationship between price and quantity demanded, not the overall demand for a good or service.

The Law of Demand Illustrates A(n) ____ Relationship Between Price