In a normal model of demand and supply, a decrease in demand leads to a(n) _____ in price and a(n) _____ in quantity exchanged. 2 Points increase/increase increase/decrease decrease/decrease decrease/increase
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- In a normal model, the law of demand states that as the price of a good or service decreases, the quantity demanded increases, and vice versa. This inverse relationship implies that a decrease in demand would lead to a decrease in price. Show more…
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