QuestionAugust 13, 2025

Holding everything else constant, an increase in the price of raisins will result in A) an increase in the demand for raisins. B) a decrease in the quantity of raisins demanded. C) an increase in the quantity of raisins demanded. D) a decrease in the supply of raisins.

Holding everything else constant, an increase in the price of raisins will result in A) an increase in the demand for raisins. B) a decrease in the quantity of raisins demanded. C) an increase in the quantity of raisins demanded. D) a decrease in the supply of raisins.
Holding everything else constant, an increase in the price of raisins will result in
A) an increase in the demand for raisins.
B) a decrease in the quantity of raisins demanded.
C) an increase in the quantity of raisins demanded.
D) a decrease in the supply of raisins.

Solution
3.1(235 votes)

Answer

B) a decrease in the quantity of raisins demanded. Explanation 1. Identify the Law of Demand The law of demand states that, holding everything else constant, an increase in the price of a good leads to a decrease in the quantity demanded. 2. Apply the Law of Demand to Raisins An increase in the price of raisins will lead to a decrease in the quantity of raisins demanded, not a change in demand itself.

Explanation

1. Identify the Law of Demand<br /> The law of demand states that, holding everything else constant, an increase in the price of a good leads to a decrease in the quantity demanded.<br /><br />2. Apply the Law of Demand to Raisins<br /> An increase in the price of raisins will lead to a decrease in the quantity of raisins demanded, not a change in demand itself.
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