[amp_mcq option1=”Income and price of commodity” option2=”Price and quantity of commodity” option3=”Income and quantity demanded” option4=”Quantity demanded and quantity supplied” correct=”option2″]<\/p>\n
The correct answer is: B. Price and quantity of commodity.<\/p>\n
The law of demand states that, all other things being equal, the higher the price of a good, the less people will demand that good. Conversely, the lower the price of a good, the more people will demand that good.<\/p>\n
Income and quantity demanded are not directly related. A change in income can affect demand for a good, but it does not necessarily do so in a predictable way. For example, if people have more money, they may demand more of some goods and less of others.<\/p>\n
Quantity demanded and quantity supplied are also not directly related. Quantity demanded is the amount of a good that consumers are willing and able to buy at a given price. Quantity supplied is the amount of a good that producers are willing and able to sell at a given price. The law of demand and the law of supply are two different economic laws that describe how these two quantities are related.<\/p>\n","protected":false},"excerpt":{"rendered":"
[amp_mcq option1=”Income and price of commodity” option2=”Price and quantity of commodity” option3=”Income and quantity demanded” option4=”Quantity demanded and quantity supplied” 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-54268","post","type-post","status-publish","format-standard","hentry","category-economics","no-featured-image-padding"],"yoast_head":"\n