If the price of chocolate-covered peanuts increases from 40 cents to 50 cents

Exhibit: The Demand for Chocolate-Covered Peanuts) If the price of chocolate-covered peanuts increases from 40 cents to 50 cents, Dan will reduce his quantity demanded from 160 bags to 140 bags due to:
A)  the law of demand.
B)  the law of supply.
C)  a decline in his income.
D)  a change in his tastes and preferences.



The principle stating that, for virtually all goods and services, there is a negative relationship between price and quantity demanded, all other things unchanged, is the law of:
A)  supply.
B)  demand.
C)  scarcity.
D)  increasing opportunity costs.


Which of the following will not cause the demand for milk (a normal good) to increase in the current time period?
A)  a fall in the price of milk
B)  an increase in income
C)  an expected increase in milk prices
D)  a decrease in the price of cookies (a complement)