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Market Demand

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Market Demand
The demand for a good or service is defined as quantities of a good or service that people are ready to buy at various prices within some given time period, other factors besides price held constant. And law of demand is the inverse relationship between price and the quantity demanded. It means the higher the price, the lower quantity demanded and vice-versa.
A change of demand can be affected by two factors. First, the changes of price result in the changes in quantity demanded. In this term, change occurs only at the point in the curve. Curve line does not shift. Second, changes in the non-price determinants result in changes in demand. This led to curve shifts to the left or to the right.
There are 5 factors of non-price determinants of demand. Here are: 1. Taste and preferences. There are many factors that trigger these factors include advertising, promotion, and even the government reports related to specific goods or services. 2. Income. Buying power is closely related to the demand of a product. Increased public income means demand also increases and vice versa. 3. Price of related products. -> Substitute or complementary products. 4. Future expectations. 5. Number of buyers.
Market Supply Definition of supply is Quantities of a good or service that people are ready to sell at various prices within some given time period, other factors besides price held constant.
The difference between demand and supply is the word sell for supply and buy for demand. Supply is based on price and other factors that could affect the quantity of supplied in a specified period of time. If the law of demand states the quantity demanded is related inversely to price, other factors held constant, law of supply is different. The law of supply states that quantity supplied is related directly to price, other factors held constant. So,...

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