Use the Following General Linear Demand Function Below: Where

question 21

Multiple Choice

Use the following general linear demand function below: where Q_d = quantity demanded,P = the price of the good,M = income, = the price of a good related in consumption.The law of demand requires that

• A)a < 0.
• B)b < 0.
• C)P < 0.
• D)a < 0 and b < 0.
• E)b < 0 and P < 0.