According to the theory of supply and demand, as the price of an article decreases
A the quantity demanded will usually fall
B the quantity demanded will fall and then rise
C the quantity demanded will not change
D the quantity demanded will usually rise
E the quantity demanded will always fall
2006-10-04 11:04:17 · 5 answers · asked by melanie v 1 in Education & Reference ➔ Other - Education
[D]....unless it is a luxury product...then it would be [A] because ppl would think that the quality has decreased
2006-10-04 11:13:16 · answer #1 · answered by mørbidsшεεŧnεss 5 · 0⤊ 0⤋
D. The quantity demanded will usually rise
2006-10-04 18:07:30 · answer #2 · answered by Noble 4 · 0⤊ 0⤋
Think of it in terms of a CD that everyone wants but it is too expensive when it first comes out.
The price is too high...but then, after alot of people buy it, the store wants to continue selling alot of them, so the price might go down. Now, you've been waiting...and the price has dropped. So you (and a lot of your friends and neighbors) all decide you've waited long enough, and you ALL rush out to finally buy it.
Since the price went down, the quantity demanded will go up.
2006-10-04 18:08:22 · answer #3 · answered by Mighty_Cranium 1 · 0⤊ 0⤋
D if price falls demand will rise
2006-10-04 18:06:32 · answer #4 · answered by cheryl 4 · 0⤊ 0⤋
assuming all things are equal, a lower price will: D, increase demand.
as an example, if iPods sold for $49, Apple will sell alot more.
2006-10-04 18:15:33 · answer #5 · answered by luv78779 2 · 0⤊ 0⤋