5 Questions
What is demand?
Demand refers to a consumer's desire to purchase goods and services at various prices during a specific time period.
What is the relationship between demand and consumer's choices?
Consumer choices form the basis of demand, as they determine the number of goods that customers are willing and ready to purchase.
What factors influence demand?
Factors that influence demand include the price of the commodity, price of other goods, consumer's income, and consumer's preferences and tastes.
How does the cost of a commodity affect demand?
The cost of a commodity influences the quantity of the commodity that customers are willing to buy. Higher prices usually lead to lower demand, while lower prices may increase demand.
What is the difference between demand and quantity demanded?
Demand refers to the overall desire of consumers to purchase a product, while quantity demanded represents the actual quantity of a product that consumers are willing and able to buy at a specific price.
Test your knowledge on demand and understand the key concepts behind consumer preferences, choices, and willingness to buy goods and services. Explore the factors that influence demand and how it varies with price fluctuations.
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