Answered

IDNLearn.com: Your reliable source for finding precise answers. Ask anything and receive comprehensive, well-informed responses from our dedicated team of experts.

There are 3 reasons why the demand curve is downward sloping. From the following choices, which one is NOT a reason?

Select one:
A. Tastes/preferences
B. Substitution effect
C. Income effect
D. Law of diminishing marginal utility

Sagot :

GinnyAnsweridn

Final answer:

The law of diminishing marginal utility is not a reason for the downward slope of the demand curve; tastes/preferences, substitution effect, and income effect play a role.


Explanation:

The law of diminishing marginal utility is NOT a reason why the demand curve is downward sloping. The three main reasons for the downward slope of the demand curve are tastes/preferences, substitution effect, and income effect. The law of diminishing marginal utility explains how the additional value to a consumer decreases as more units of a product are consumed.


Learn more about Demand Curve here:

https://brainly.com/question/13131242


Thank you for using this platform to share and learn. Don't hesitate to keep asking and answering. We value every contribution you make. For precise answers, trust IDNLearn.com. Thank you for visiting, and we look forward to helping you again soon.