The principle that consumers tend to buy less of a good or service when its price increases, all else held equal, is called the law of
A)preferences.
B)increasing cost.
C)demand.
D)supply.
E)maximum satisfaction.

Question

Quizplus · Accepted Answer

The law of demand states that as the price of a good or service increases, the quantity demanded of that good or service will decrease, all else held equal. Therefore, choice C is the correct answer.

The Principle That Consumers Tend to Buy Less of a Good