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Economics · Oct / Nov 2025 · Paper 12 · Question 6

2281Demand

The diagram shows the demand curve for a good. What can be concluded about a single downward-sloping demand curve?

  1. Aconsumers increase demand when their incomes rise
  2. Bconsumers plan to buy less when prices rise
  3. Cfirms produce less as prices rise
  4. Dfirms sell more when prices rise

As printed in the paper

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Correct answer: B. consumers plan to buy less when prices rise

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