Question : Law of Demand states that there is a negative relationship between ______.

Option 1: demand for a commodity and its supply

Option 2: demand for a commodity and its price

Option 3: tax on a commodity and its price

Option 4: supply of a commodity and its price

Question : The law of demand states that:

Option 1: if the price of a good increases, the demand for that good decreases

Option 2: if the price of a good increases, the demand for that good increases

Option 3: if the price of a good increases, the quantity demanded of that good decreases

Option 4: if the price of a good increases, the quantity demanded of that good increases

Question : If a consumer's demand for a good moves in the same direction as the consumer's income, the consumer's demand for that good must be inversely related to the price of the good, which is called _____.

Option 1: law of demand

Option 2: law of supply

Option 3: law of substitute

Option 4: law of optimal choice

Question : Which of the following are the assumptions of the law of Demand?

Option 1: Price remains unchanged

Option 2: Income remains unchanged 

Option 3: The price of related goods is changed 

Option 4: A change in taste and preferences 

Question : Which law states that with constant taste and preference, the proportion of income spent on food stuff diminishes as income increases?

Option 1: Say's Law

Option 2: Griffin's Law

Option 3: Gresham's Law

Option 4: Engel's Law