The Law of demand may be defined as the one among the following. Choose the correct option.
Answer & explanation
Correct answer: option 3
The correct answer is option (3) : Other things remain equal there is a negative relation between demand for a commodity and it's price.
The Law of Demand states that, ceteris paribus (all other things being equal), there is an inverse or negative relationship between the price of a good and the quantity demanded by consumers. As the price of a good increases, the quantity demanded decreases, and vice versa, assuming that other factors affecting demand (such as consumer income, preferences, and prices of related goods ) remain constant.