Question

The demand curve slopes downward and to the right. List and explain three (3) reasons of effects that help explain this downward slope.

Answer 1

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Advertising as an Investment. Every business sees advertising as an expense, a necessary but sometimes unaffordable expense, in the business operations. Advertising is something that people always plan to do, but either reduce the budget for it, or neglect it, especially when business times are tough.

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