Question

Explain the difference between an individual demand curve and a market demand curve.

An individual demand curve

A. relates the quantity of a good that a single consumer will buy to its​ price, while a market demand curve is all the individual demand curves multiplied together.

B. relates the quantity of a good that a single consumer will buy to its​ price, while a market demand curve relates the quantity of a good that all consumers in a market will buy to its price.

C. relates the quantity of a good that consumers in a market will buy at one particular​ price, while a market demand curve relates the quantity of a good that consumers in a market will buy at all prices.

D. both A and B are correct.

E. both B and C are correct.

Answer 1

Option (B) is correct.

Step-by-step explanation:

An individual demand curve is a graphical representation of consumer quantity demanded for the good in an economy at a particular prices of the good.

On the other hand, a market demand curve is a graphical representation of quantity demanded of all the consumers in an economy at a particular prices of the products.