The demand curve slopes downward because of diminishing marginal returns. diminishing marginal utility. diminishing returns to scale. increasing marginal costs. increasing returns to scale.

diminishing marginal utility.

Explanation:

The demand curve slopes downward because of diminishing marginal utility. According to this law, when a consumer purchases more units of a good, the marginal utility of that good continues to decrease and therefore, the consumer will purchase more units of that good only when its price falls and the consumer will purchase less when its price rises which proves that demand curve slopes downward.

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