Asked by
Ms.tatyana blackmon
on Dec 11, 2024
Verified
Because the height of the demand curve measures the marginal value of the good to consumers, the fact that a demand curve slopes downward to the right illustrates that
A) as more of a product is consumed, consumers will value additional units less.
B) as more of a product is consumed, consumers will value additional units more.
C) the value of additional units of the good is unrelated to the amount consumed.
D) the cost of production for a good generally rises as more of it is produced.
Demand Curve
A graph showing the relationship between the price of a good and the quantity of that good that buyers are willing to purchase.
Marginal Value
Refers to the additional benefit derived from consuming or producing one more unit of a good or service.
Slopes Downward
Describes a line on a graph that represents a decrease in one variable as another variable increases, typically associated with demand curves.
- Understand the principle of demand and its expression via the inverse correlation between price and quantity demanded.
- Comprehend the relevance of the demand curve slope in illustrating price sensitivity.
Verified Answer
BT
Learning Objectives
- Understand the principle of demand and its expression via the inverse correlation between price and quantity demanded.
- Comprehend the relevance of the demand curve slope in illustrating price sensitivity.