The Law of Demand States That as the Price of a Good

question 99

Multiple Choice

The law of demand states that as the price of a good rises,_____.

• A)buyers purchase more of the good,because they expect prices to be even higher in the future
• B)buyers purchase less of the good,because they expect prices to fall in the future
• C)buyers purchase less of the good,because their real income decreases with an increase in price
• D)buyers purchase more of the good,because the price of a substitute has risen
• E)buyers purchase more of the good,because the higher price reflects an improvement in product quality