What Would Happen to Demand If Consumers Expect the Price

question 69

Multiple Choice

What would happen to demand if consumers expect the price of a good to rise in the near future?

• A) The current demand would increase.
• B) The future demand would decrease.
• C) The current demand would not be affected.
• D) The current demand would decrease.

---

Definitions:

Less Than Fair Value

A term typically used in the context of international trade, indicating that goods are being sold at a price less than their market value or cost of production, often leading to unfair competition.

Fair Value

An estimation of an asset's worth based on current market conditions or the amount for which an asset could be exchanged.

Distribution Agreement

A legal contract between parties governing the terms under which goods or services will be distributed from a supplier to a distributor.

Licensing

The process by which an individual or organization obtains permission to carry out a particular activity or use a particular product.