Consider a Downward-Sloping Demand Curve

question 285

Multiple Choice

Consider a downward-sloping demand curve.When the price of an inferior good decreases, the income and substitution effects

• A)work in the same direction to increase quantity demanded.
• B)work in the same direction to decrease quantity demanded.
• C)work in opposite directions and quantity demanded increases.
• D)work in opposite directions and quantity demanded decreases.

---

Definitions:

Harassment

Unwanted or unwelcome behavior that causes discomfort or harm, which can be sexual, verbal, physical, or psychological in nature.

Discrimination

The unjust or prejudicial treatment of different categories of people, especially on the grounds of race, age, sex, or disability.

Perceptual Distortions

Perceptual Distortions are errors in judgment or misinterpretations of sensory information, which can affect understandings and decisions by distorting reality.

Stereotypes

An individual’s fixed beliefs about the characteristics of a particular group.