Ask Question
6 December, 17:31

There are three consumers in the market for playing cards: Don, John, and Ron. At a price of $2 per pack, the quantities demanded by each are 3 packs, 2 packs, and 1 pack, respectively. At a price of $1.50 per pack, the quantities demanded by each are 4 packs, 5 packs, and 3 packs, respectively. Which of the following is true

A. The market demand curve for playing cards does not follow the law of demand.

B. The decrease in price causes the quantity demanded in this market to increase by 6 packs.

C. The price decrease causes Don's demand curve to shift more than Jon's and Ron's.

D. At a price of $1 per pack, the quantity demanded in this market must be 20 packs.

E. Don's behavior does not follow the law of demand.

+4
Answers (1)
  1. 6 December, 21:28
    0
    The correct answer is B. The decrease in price causes the quantity demanded in this market to increase by 6 packs.

    Explanation:

    quantity demanded in this market @ $2 = 3+2+1=6

    quantity demanded in this market @$1.50 = 4+5+3 = 12

    Net increase in quantity demanded is 12-6 = 6
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “There are three consumers in the market for playing cards: Don, John, and Ron. At a price of $2 per pack, the quantities demanded by each ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers