- Analyze the table columns: 'Price per Graphic Tee' is the price paid by the consumer, and 'Quantity Demanded' is the amount of the product consumers buy.
- Observe the inverse relationship: as price increases, quantity demanded decreases.
- Match the column definitions to the provided descriptions: the relationship represents the 'amount of a product' and the 'price a consumer pays'.
- Select the matching option to conclude that the link is between the amount of a product and the price a consumer pays. Final answer: \(\boxed{\text{amount of a product and the price a consumer pays}}\).
Explanation
- Analysis of the Data Relationship
The table presents data on the relationship between two variables: the 'Price per Graphic Tee' and the 'Quantity Demanded'. The 'Price per Graphic Tee' is the cost a consumer pays when purchasing a shirt, while the 'Quantity Demanded' represents the specific amount of the product that consumers are willing and able to purchase at that given price. As the price increases from \(\$5.00\) to \(\$15.00\), the quantity demanded decreases from \(50\) to \(10\), illustrating a typical downward-sloping demand relationship.
- Identifying the Relationship
The table clearly labels the two columns: 'Price per Graphic Tee' and 'Quantity Demanded'. By definition, 'Price per Graphic Tee' in this context is the price the consumer pays, and 'Quantity Demanded' refers to the amount of the product that is desired at that price point. Therefore, the chart documents the link between the amount of a product (quantity demanded) and the price that the consumer pays.
- Evaluating the Options and Concluding
Comparing our findings with the given options:
- 'interest in a product and the price a consumer pays': While interest is related to demand, 'amount' is more precise for 'quantity demanded'.
- 'interest in a product and the price a producer pays': Incorrect, as it refers to a producer rather than a consumer.
- 'amount of a product and the price a consumer pays': This perfectly matches the definitions of our variables 'Quantity Demanded' and 'Price per Graphic Tee'.
- 'amount of a product and the price a producer pays': Incorrect, as it refers to a producer rather than a consumer.
Thus, the correct description is the amount of a product and the price a consumer pays.
Examples
In economics, understanding the relationship between price and quantity is fundamental to businesses. For example, a local coffee shop might notice that when they raise the price of a latte, fewer customers order it. By tracking these changes, the coffee shop owner can determine the 'amount of product' (the number of lattes) that consumers are willing to buy at a specific 'price the consumer pays'. This helps the business set prices that maximize their sales and revenue while meeting customer demand.