Question

The market demand curve is the BEST visual representation of which statement? A) "Widgets are immune to the market forces of supply and demand." B) "Buyers have a negative incentive to purchase larger quantities of widgets at lower prices. As the price drops, there is an direct relationship to the quantity demanded." C) "Consumers are willing and able to purchase various quantities of widgets at prices up to approximately $5. At higher prices, they will demand fewer widgets. But at lower prices, they will demand a greater number of widgets." D) "The law of supply states that widget prices are inversely related to the quantity that will be offered for sale. As the price of widgets drops, suppliers are encouraged to increase the quantities they are willing to offer for sale."

Answer 1

Answer: C) "Consumers are willing and able to purchase various quantities of widgets at prices up to approximately $5. At higher prices, they will demand fewer widgets. But at lower prices, they will demand a greater number of widgets.

Explanation: The law of demand states that there is an inverse relationship between price and quantity demanded. The market demand curve represents this relationship. As you can see on the graph, "Consumers are willing and able to purchase various quantities of widgets at prices up to approximately $5. At higher prices, they will demand fewer widgets. But at lower prices, they will demand a greater number of widgets"

Answer 2

the answer is C) "Consumers are willing and able to purchase various quantities of widgets at prices up to approximately $5. At higher prices, they will demand fewer widgets. But at lower prices, they will demand a greater number of widgets."