Price and quantity with the law of demand.

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Question

Identify the relationship between price and quantity with the law of demand. Consider the graph. A graph in which the vertical y-axis represents price. It starts at 0 and increases by increments of 0.25, going up to 1.50. The y-axis has 10 sub-increments or 2 squares between each increment. The horizontal x-axis represents quantity. It starts at 0 and increases by increments of 1 with 5 sub-increments or 1 square between each increment. A line passes through x = 6.3 and y = 0 till x = 1.50 and y = 3.2. Which of the following statements is FALSE about the law of demand? a.) A movement along the demand curve is due to a change in price. b.) When price decreases, the quantity demanded will always increase by the same amount. c.) The law of demand expresses a negative relationship between quantity on the x-axis and price on the y-axis. d.) A reduction in price will result in an increase in quantity.

Reference no: EM133637618

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