Demand and Supply PDF
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This document provides a basic overview of demand and supply concepts. It explains the inverse relationship between price and quantity demanded, and discusses external factors that affect demand. The document also touches on related goods and the concept of market demand.
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[DEMAND AND SUPPLY] Law of Demand - Gives the relationship between two specific variables: price and quantity demanded. Has an inversely relationship between each other. There are factors other than price that can influence the product demanded. A change in the price of the product will be indicat...
[DEMAND AND SUPPLY] Law of Demand - Gives the relationship between two specific variables: price and quantity demanded. Has an inversely relationship between each other. There are factors other than price that can influence the product demanded. A change in the price of the product will be indicated by a movement along the demand curve. Shift factors of demand (Other things held constant) -- External factors that can affect demands. Prices of related goods -- Look for substitutions, trying to maximize with limited amount of money. Comparable terms may be applied during buying. Substitutes are always in parallel direction. [Market Demand] Horizontal Summation of Demand from individual buyers.
