Answer to Question #207861 in Economics for Paballo

Question

Which one of the following statements is correct?

A. The quantity demanded is inversely related to price.

B. The market demand curve is calculated by averaging the demand curves of individual consumers

C. An increase in price leads to a decrease in demand

D. According to the law of demand, the demand curve is always a straight line.

Answer 1

B. The market demand curve is calculated by averaging the demand curves of individual consumers