If the Demand for a Product Decreases, We Would Expect

question 19

Multiple Choice

If the demand for a product decreases, we would expect that price will initially ________, and eventually ________.

• A) rise; fall
• B) rise; continue to rise
• C) fall; rise
• D) fall; continue to fall

---

Definitions:

Securities Act

A law enacted to regulate the securities industry, ensuring transparency, fairness, and protection of investors by requiring full disclosure of financial information from companies offering securities for public sale.

Red-herring

A Red-herring is a distraction or misleading piece of information that diverts attention away from the main issue.

Prospectus

An official document that provides detailed information about an investment, typically issued by companies in the process of going public.

Registration

The act of recording or enrolling details or information officially, often necessary for legal recognition, such as in the case of properties, vehicles, or trademarks.