Law of Demand in Action

Steps:

• Identify the table as a demand schedule showing inverse relationship between price and quantity demanded.
• Plot points from the table to visualize the downward-sloping demand curve.
• Calculate total revenue or elasticity if needed, but focus on quantity changes.
• Select option matching the law's prediction of higher prices reducing quantity demanded.

Why D is correct:

• D correctly identifies the inverse relationship, aligning with the law of demand where quantity demanded falls as price rises.

Why the others are wrong:

• A misinterprets the data as a supply schedule, ignoring demand focus.
• B assumes constant quantity, violating the law of demand.
• C suggests positive correlation, contradicting economic principles.

Not enough information to fully analyze without the table details.

Final answer: D