What economic principle explains the relationship between price and quantity demanded under a ceiling?

The principle that explains the relationship between price and quantity demanded under a price ceiling is the Law of Demand. This law states that, all else being equal, there is an inverse relationship between the price of a good and the quantity demanded by consumers. When a price ceiling is implemented, it sets a maximum allowable price for a good or service, which often results in prices being lower than they would be in a free market.

As the price decreases due to the ceiling, consumers are typically willing to purchase more of the good because it becomes more affordable. This increase in quantity demanded occurs because consumers respond to the lower price by buying more, demonstrating the fundamental concept of the Law of Demand. Thus, the correct answer clearly aligns with this economic principle, as it effectively captures how a price ceiling influences consumer behavior in regard to the quantity of a good demanded.