Answer to Question #236645 in Economics of Enterprise for Likenaw

Question

More of a commodity will be purchased at lower prices because A. Consumers substitute this commodit6y for others whose price has not changed. B. At lower prices, consumers can purchase more of this commodity with a given money income. C. More consumers will buy the commodity at lower prices than at higher prices. D. All of the above.

Answer 1

D. All of the above

Law of demand state that product with lower prices will be purchased more. Consumers substitute goods for others in their consumption and with given income consumers purchase more goods at lower prices.