Suppose that books are measured on the horizontal axis and CD's are measured on the vertical axis.As long as the law of demand holds for books,than an increase in the price of books will generate a price-consumption path that traces a path
A) To the left
B) To the right
C) Upward
D) Downward

Question

Quizplus · Accepted Answer

According to the law of demand, as the price of a product increases, the quantity demanded for that product decreases. Therefore, an increase in the price of books will lead to a decrease in the quantity demanded, which will be reflected by a leftward movement along the horizontal axis on the price-consumption path.

Suppose That Books Are Measured on the Horizontal Axis and CD's