DEMAND

DEMAND

Refers to the desire, backed by the

necessary ability to pay.

The demand for a good at a given

price is the quantity of it that can be
bought per unit of time at the given
price.

Determinants Of
Demand
Function of Demand The term function is employed
to show determined and
determinantrelationship.
Examples we say that the quantity of a good
demanded is a function of its price.
D=f(p)
where D represents quantity demanded
f means function, and
p represnts price of the good.

CHARACTERISTICS

Inverse Relationship
Price an independent variable and
demand a dependant variable
Other things reamain constant

CHANGE IN DEMAND
1) Movement Along the curve
a) Expansion of demand
b) Contraction of demand

2) Parallel shift curve

a) Increase in demand
b) Decrease in demand