A local farmer relates that he can sell 50 dozen ears of corn per day at his roadside stand. "But if I raise my price," he claims, "the demand will fall." The farmer is
A. using the term "demand" correctly, and is right in his conclusion.
B. confusing demand and supply.
C. incorrect because changes in prices affect quantity demanded, not demand.
D. correct only if factors such as the prices of competitive items, the number of buyers, and the tastes of buyers remain constant.