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If, in Response to a Decrease in the Price of Grapes

question 80

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If, in response to a decrease in the price of grapes, the quantity of grapes demanded increases, then economists would describe this as


Definitions:

Demand Curve

A graphical representation showing the relationship between the quantity demanded of a good and its price.

Equilibrium Price

The cost at which consumer demand for a product matches the amount producers are willing to supply, resulting in a stable market.

Supply Curve

A graph showing the relationship between the price of a good and the quantity supplied, with price on the vertical axis and quantity on the horizontal axis.

Equilibrium Quantity

The quantity of goods or services supplied and demanded at the point where supply and demand curves intersect.

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