Questions: Demand for a product is most likely to increase because: A. consumers expect the future price to decline. B. the total number of consumers in a market declines. C. the product becomes unfashionable for consumers. D. demand for complementary goods rises.

Demand for a product is most likely to increase because:
A. consumers expect the future price to decline.
B. the total number of consumers in a market declines.
C. the product becomes unfashionable for consumers.
D. demand for complementary goods rises.
Transcript text: Demand for a product is most likely to increase because: A. consumers expect the future price to decline. B. the total number of consumers in a market declines. C. the product becomes unfashionable for consumers. D. demand for complementary goods rises.
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Solution

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Answer

The answer is D. demand for complementary goods rises.

Explanation
Option A: Consumers expect the future price to decline.

If consumers expect the future price of a product to decline, they are likely to delay their purchases, leading to a decrease in current demand rather than an increase.

Option B: The total number of consumers in a market declines.

A decline in the total number of consumers in a market would typically lead to a decrease in demand, not an increase, as there are fewer people to purchase the product.

Option C: The product becomes unfashionable for consumers.

If a product becomes unfashionable, it is likely to see a decrease in demand because consumers are less interested in purchasing it.

Option D: Demand for complementary goods rises.

When the demand for complementary goods rises, it often leads to an increase in demand for the related product. For example, if the demand for printers increases, the demand for ink cartridges (a complementary good) is also likely to rise.

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