According to the law of demand, assuming other factors are held constant

a. As the price of milk decreases, the quantity of milk demanded will increase.

b. As the demand for milk increases, the price of milk will also increase.

c. As the price of milk increases, the quantity of milk demanded will increase.

Question

Business

Bobby Velazquez

10 December, 14:28

According to the law of demand, assuming other factors are held constant

a. As the price of milk decreases, the quantity of milk demanded will increase.

b. As the demand for milk increases, the price of milk will also increase.

c. As the price of milk increases, the quantity of milk demanded will increase.

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Answers (1)

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Dud · Answer 1

a. As the price of milk decreases, the quantity of milk demanded will increase.

Explanation:

According to the law of demand, if the price of a commodity is increasing than the quantity demanded of a commodity is decreased, and if the price of a commodity is decrease than the quantity demanded of a commodity is increased.

It means that it shows an inverse relationship between the price and the quantity demanded of a commodity.

In this, only two factors are changed, and the other factors are being constant