What is the reason why the quantity demanded of a good increase when its price falls?

Marketing Jan 09, 2021

Expert Solution

The reason why the quantity demanded of a good increase when its price falls is because of the inverse relationship between quantity demanded and price, as indicated in the law of demand. The law of demand states that; everything being equal, the quantity demanded of a good will increase (decrease) when its price falls (raise). This is the reason is to why the demand curve is downward sloping.

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