Demand continued: Types of Demand
ypes of demand can be categorized on following bases:-
ature of commodity demanded ( Consumer goods or capital goods)
Time unit (Short run or Long Run)
Relation between two goods .
Demand can be of following types on the basis of above categories:-
Direct & Derived Demand2.Recurring & Replacement Demand3.Complementary & Competing Demand4.
ndividual & Market DemandDirect & Derived Demand1)Direct Demand: When a product is demanded for its own use by final consumersthen it is known as
Consumer Goods & its demand is knownas
Direct Demand Examples are household items like
.V Etc.2)Derived Demand: When a product is demanded for producing anothercommodity then it is called
Capital Goods & its demand iscalled
Derived Demand e.gdemand for A.C creates demandfor its parts and components