Factors Affecting Demand

The five factors that determine demand for a commodity are desire, willingness to buy, ability to buy, price, and point of time.

The most important determinant of the demand for a commodity is its price.

To a considerable extent, demand for a commodity depends on the tastes and preferences of a consumer.

<p>When the price of a commodity falls, the demand for it expands as rational consumers tend to buy more.</p> Signup and view all the answers

<p>The other determinants of demand include tastes and preferences of a consumer.</p> Signup and view all the answers

<p>supply, demand, price</p> Signup and view all the answers

<p>supply and demand</p> Signup and view all the answers

<p>technology and the conditions under which people operate</p> Signup and view all the answers

<p>a large number of virtually identical sellers and buyers or only one seller and one buyer</p> Signup and view all the answers

<p>The price of a good or service is determined by the interaction of supply and demand in a market.</p> Signup and view all the answers

<p>Technology and the conditions under which people operate.</p> Signup and view all the answers

<p>One extreme is a market populated by a large number of virtually identical sellers and buyers. The other extreme is a market with only one seller and one buyer.</p> Signup and view all the answers

<p>Supply, demand, price.</p> Signup and view all the answers

<p>Liberty, equality, fraternity.</p> Signup and view all the answers

<p>Life, liberty, happiness.</p> Signup and view all the answers