Demand Practice Problems 1. Which of the following best describes the law of demand? (A)The price of a good increases when the demand for the good increases. (B)The price of a good decreases when the supply of the good decreases. (C)When the price of a good increases, its demand decreases. (D)When the price of a good decreases, its quantity demanded increases.

C. When the price of a good increases, its demand decreases.

Explanation:

The law of demand is one of the most fundamental concepts in economics, according to which the demand varies inversely with the price of a product.  This means that, if the price of a good increases, its demand decreases. For example, if someone wants to buy bottled water, they are more likely to buy more bottles if they are cheaper.

is there multiple choice or do you need like an essay answer?