Demand

• Demand:

  Demand is the amount of a good/service that a consumer is willing and able to purchase at a given price in a given time period

  • If a consumer is willing to purchase a good, but cannot afford to, it is not effective demand
• Changes in demand:

  if it's a trend

  advertising

  changes in the prices of substitute goods
• Diminishing Marginal Utility

  • Marginal utility is the additional utility (satisfaction) gained from the consumption of an additional product