2. Demand
The amount of particular economic good or service
that a consumer or group of consumers will want to
purchase at a given time.
A relationship between the price of an item and
quantity demanded.
Willingness and with resources to pay.
3. Prices
are the tool by which the market functions together
with individuals’ desires and limits how much people
want to buy.
4. Law of Demand
The principle stating that, in general, other things
being equal, the lower the price of a good, the greater
the quantity of that good buyers will purchase over a
given period.
- Quantity demanded rises as price falls,
other things constant.
- Quantity demanded falls as price rises,
other things constant.
5. Demand Schedule
A table shows how an item’s quantity demanded would
vary with price, other things being equal.
6. Demand Curve
Is the graphic representation of the relationship
between price and quantity demanded.
7. Factors Affecting the Demand
Income
Prices of other goods
Tastes
Expectations