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Identify the choice that best completes the statement or answers the question. 1. The law of demand is the principle that there is relationship between

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Identify the choice that best completes the statement or answers the question. 1. The law of demand is the principle that there is relationship between the price of a good and the quantity buyers are willing to purchase in a defined time period, ceteris paribus. a. a direct b. no C. an inverse d. independent 2. The law of demand indicates that as the price of a good increases: a. suppliers sell less of it. b. suppliers sell more of it. C. buyers buy less of it. d. buyers buy more of it. 3. The law of demand says that the lower the price charged for a good, ceteris paribus, the: a. greater the quantity demanded per period of time. b. greater the demand for the good per period of time. C. smaller the demand for the good per period of time. d. smaller the quantity demanded per period of time. e . larger the supply of the good per period of time. 4. At a price of $5, Sam buys 10 units of a product; when the price increases to $6, Sam buys 8 units. Martha says Sam's demand has decreased. Is Martha correct? . Yes, Martha is correct. Sam's demand has decreased. b. No, Martha is incorrect. Sam's demand has increased. C. No, Martha is incorrect. Sam's quantity demanded has decreased, and his demand has not changed. d. No, Martha is incorrect. Sam's quantity demanded has increased, and his demand has increased. e. No, Martha is incorrect. Sam's demand has increased, and his quantity demanded has decreased. 5. If consumer incomes go up and Harley Davidson motorcycles are a normal good, the effect on the demand for motorcycles, ceteris paribus, will be a(n): a. upward movement along the demand curve for motorcycles. b. downward movement along the demand curve for motorcycles. C. rightward shift in the demand curve for motorcycles. d. leftward shift in the demand curve for motorcycles

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