Graphically, the market demand curve is:

• A. upward sloping from left to right
• B. vertical
• C. downward sloping from left to right
• D. horizontal

Answer: (C)

Verified step by step guidance

1. Understand that the market demand curve represents the relationship between the price of a good and the total quantity demanded by all consumers in the market.
2. Recall the Law of Demand, which states that, ceteris paribus, as the price of a good decreases, the quantity demanded increases, and vice versa.
3. Recognize that this inverse relationship between price and quantity demanded results in a demand curve that slopes downward from left to right on a graph where the vertical axis is price and the horizontal axis is quantity.
4. Eliminate options that contradict this relationship: an upward sloping curve would imply higher prices lead to higher demand, which is generally not true; a vertical curve implies quantity demanded does not change with price; a horizontal curve implies perfect price elasticity, which is a special case, not the general market demand.
5. Conclude that the correct graphical representation of the market demand curve is downward sloping from left to right.