A downward-sloping demand curve illustrates
a. that demand increases
b. that prices fall.
c. the relationship between income and demand.
d. the law of demand.
d
You might also like to view...
Which one of the following is not a position taken by classical economists? a. Problems of inflation and unemployment will disappear without government intervention
b. All markets are competitive. c. All prices are flexible upward and downward. d. Inflation occurs when the money supply grows faster than real GDP. e. While government should not engage in countercyclical fiscal policy, it is appropriate that the Fed engage in countercyclical monetary policy.
In perfect competition as well as in monopolistic competition,
a. marginal revenue is equal to price for each firm. b. profit is positive in a long-run equilibrium for each firm. c. entry and exit by firms are restricted. d. there are many firms in a single market.