Question: The bad rumor makes each point move to the left, which is down. At every price, there are fewer buyers than there used to be.



The bad rumor makes each point move to the left, which is "down." At every price, there are fewer buyers than there used to be. This is what economists mean by a "fall in demand." The whole curve shifts to the left. Before Rumor DEMAND FOR DISPOSABLE GOWNS $7 F 56 Q E $5 0 D LI..I $4 . u E C CL 53 . B 52 Q A $1 0 $0 0 10 20 30 40 50 60 7O QUANTITY A B C D E F Price: $1 $2 $3 $4 $5 $6 Quantity: 60 30 20 15 12 10 After Rumor DEMAND FOR DISPOSABLE GOWNS F 56 Q E 55 O D I.I.l $4 . u E C D. 53 . B 52 O A $1 . $0 0 10 20 30 40 50 60 70 QUANTITY A B C D E F Price: $1 $2 $3 $4 $5 $6 Quantity: 30 15 10 7 6 5 The bad rumor makes each point move to the left, which is "down." At every price, there are fewer buyers than there used to be. This is what economists mean by a "fall in demand." The whole curve shifts to the left. At the old, higher demand, you could sell 30 gowns a day at $2. At the new, lower demand, how many can you sell at a price of $2? Question 8 1 pts When your demand shifts down, the amount you sell doesn't necessarily go down. It depends on what you do with your price. For example, you can keep selling 30 gowns per day if you cut your price to what
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