Four points on a demand schedule are given: $12, 2 units; $10, 3 unit; $15, 5 units; and $2, 4 units. Which combination is inconsistent with the law of demand?
A) $12 and 2 units
B) $10 and 3 unit
C) $15 and 5 units
D) $2 and 4 units

Question

Quizplus · Accepted Answer

The law of demand states that as the price of a good or service increases, the quantity demanded decreases, all other factors being equal. However, in this case, the combination of a higher price ($15) and a higher quantity demanded (5 units) contradicts this law. Therefore, choice C is the only option that is inconsistent with the law of demand.

Four Points on a Demand Schedule Are Given: $12, 2