In economics, demand is the quantity of a good that consumers are willing and able to purchase at various prices during a given time. [1][2] In economics "demand" for a commodity is not the same thing as "desire" for it. It refers to both the desire to purchase and the ability to pay for a commodity. [2]
Demand is a consumer's willingness to buy something, and demand is generally related to the price that consumer would have to pay. Generally speaking, demand increases when prices drop and...
demand, claim, require, exact mean to ask or call for something as due or as necessary. demand implies peremptoriness and insistence and often the right to make requests that are to be regarded as commands.
A Demand Curve for Gasoline The demand schedule shows that as price rises, quantity demanded decreases, and vice versa. These points are then graphed, and the line connecting them is the demand curve. The downward slope of the demand curve again illustrates the law of demand—the inverse relationship between prices and quantity demanded.
Economists use the term demand to refer to the amount of some good or service consumers are willing and able to purchase at each price. Demand is based on needs and wants—a consumer may be able to differentiate between a need and a want, but from an economist’s perspective, they are the same thing. Demand is also based on ability to pay.
This comprehensive guide explores how demand works, the factors that influence it, the law of demand, the demand curve, and how it fits into macroeconomic policy.
Understand demand and supply with simple explanations, real-world examples, and visual diagrams. Learn how market equilibrium determines price and quantity, and how shifts in curves affect the economy.
What does demand mean in economics? Demand in economics refers to the quantity of a product or service that consumers are both willing and able to purchase at different price levels over a specific period.
