Suppose All Prices Decrease by 5 Percent in the Year

question 220

Multiple Choice

Suppose all prices decrease by 5 percent in the year while the total sales of laptops remain constant. This is

• A) a violation of the law of demand since fewer laptops should be purchased at a higher price.
• B) a violation of the law of demand since more laptops should have been purchased with higher incomes.
• C) not a violation of the law of demand since the relative price of laptops did not change.
• D) not a violation of the law of demand since the law of demand does not apply to expensive goods like laptops.

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Definitions:

Closed Circulatory System

A circulatory system where blood is contained within vessels and is separated from bodily tissues, as seen in vertebrates.

Dorsal Heart

A dorsal heart is a heart that is located towards the back (dorsal) side of an organism, contrasting with the ventral placement seen in humans.

Hemoglobin

A molecule found in red blood cells that carries oxygen from the lungs to all parts of the body.

Bilateral Symmetry

A body plan in which organisms have body shapes that are mirror images along a midline called the sagittal plane.