Question

According to the law of demand, as prices decrease, demand

a decreases.
b increases.
c stays the same.
d disappears.

Answer 1

It's B because the law of demand has reverse effects.

Answer 2

According to the law of demand, as prices decrease, the demand, B. increases. Many factors are at play when determining whether the demand will increase. One of these is prices. As prices go down, more consumers can afford the product, and so these consumers are more inclined to purchase it, increasing the demand.