Suppose that college tuition is higher this year than last year and that more students are enrolled in college this year than last year. Based on this information, we can best conclude that:
A) the law of demand is invalid.
B) despite the increase in price, quantity demanded rose due to some other factor changing.
C) this situation has nothing to do with the law of demand.
D) the demand for a college education is positively sloped.

Question

Quizplus · Accepted Answer

The increase in enrollment despite higher tuition suggests that another factor, such as increased financial aid or higher perceived value of education, has increased demand, consistent with the law of demand.

Suppose That College Tuition Is Higher This Year Than Last