In the context of fundamental principles of a free market system, which of the following statements is true of a demand curve?
A)It shows the relationship between price and quantity from a producer standpoint.
B)It refers to the point where the supply of products starts exceeding demand due to excessive production.
C)It shows the relationship between price and quantity from a customer standpoint.
D)It refers to the point where the supply of products is no longer possible due to exhaustion of resources.

Question

Quizplus · Accepted Answer

A demand curve shows the relationship between the price of a good or service and the quantity of that good or service that consumers are willing and able to buy at a given point in time. It reflects the customer's viewpoint and indicates how much of a product or service will be demanded at different prices.

In the Context of Fundamental Principles of a Free Market