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Suppose a Downward- Sloping Demand Curve Intersects the Horizontal Axis

Question 3

Multiple Choice

Suppose a downward- sloping demand curve intersects the horizontal axis at a point where quantity demanded equals 1250 units.What is the "value" that consumers place on the 1250th unit of this good?


A) a negative value
B) $0
C) a positive value
D) $1250
E) it depends on the position of the supply curve

Correct Answer:

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