Which of the following statements is correct? (Assume demand is interacting with an upward sloping supply curve.)
A) If demand increases, then price will decrease.
B) If demand decreases, then price will decrease.
C) If price increases, then demand will decrease.
D) If price decreases, then demand will decrease.

Question

Quizplus · Accepted Answer

When demand decreases, the equilibrium price will decrease as there is less willingness to pay at each price level, leading to a lower market price.

Which of the Following Statements Is Correct? (Assume Demand Is