Drawing demand and supply curves assumes that the primary variable influencing decisions to produce and purchase goods is:

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Drawing demand and supply curves assumes that the primary variable that influences decisions to produce and purchase goods is price. The demand curve shows the relationship between the quantity of a good consumers are willing and able to buy and the price of that good, while the supply curve shows the relationship between the quantity of a good producers are willing and able to sell and the price of that good. Therefore, price is the central variable in determining the equilibrium price and quantity in a market.

Drawing Demand and Supply Curves Assumes That the Primary Variable