The population in a coastal town decreased last year. as a result, local store owners noticed a(n) in the quantity demanded of goods and services.
a) increase
b) decrease

Decreased demand.

The supply of goods and services corresponds to the demand for goods and services. Thus, production and supply depend on demand. This is intuitive, a good will only be sold if there is someone who buys it.

In the issue presented, there is a decrease in the birth rate of the city. This will have a social and economic reflection. There will be less work force and fewer people to buy. Consequently, there will be a lower demand for goods and services, which will be perceived by store owners.