If, for any given amount of a good or service, willingness to pay increases, then:
A) supply has increased.
B) supply has decreased.
C) demand has increased.
D) demand has decreased.

Question

Quizplus · Accepted Answer

An increase in willingness to pay means that consumers are willing to pay more for the same amount of the good or service, indicating an increase in demand. This does not affect the supply of the good or service, as the same amount is still being produced regardless of the change in willingness to pay.

If, for Any Given Amount of a Good or Service