[amp_mcq option1=”Both 1 and 2″ option2=”Only 1″ option3=”Only 2″ option4=”All of the above” correct=”option2″]<\/p>\n
The correct answer is: Both 1 and 2<\/strong><\/p>\n Statement 1 is correct because demand is a relationship between the price of a good and the quantity demanded of that good. The quantity demanded is the amount of a good that consumers are willing and able to purchase at a given price. The law of demand states that, all other things being equal, the quantity demanded of a good will decrease as the price of the good increases.<\/p>\n Statement 2 is also correct because individual demand is the demand for a good by a single consumer. The individual demand curve shows the relationship between the price of a good and the quantity demanded of that good by a single consumer. The individual demand curve is downward-sloping because, all other things being equal, consumers will demand more of a good as the price of the good decreases.<\/p>\n Statement 3 is incorrect because demand is not the desire\/want back of money. Demand is the willingness and ability to purchase a good at a given price.<\/p>\n","protected":false},"excerpt":{"rendered":" [amp_mcq option1=”Both 1 and 2″ option2=”Only 1″ option3=”Only 2″ option4=”All of the above” correct=”option2″]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[12],"tags":[],"class_list":["post-50082","post","type-post","status-publish","format-standard","hentry","category-economics","no-featured-image-padding"],"yoast_head":"\n