Printer Friendly
Dictionary, Encyclopedia and Thesaurus - The Free Dictionary
1,727,590,889 visitors served.
forum mailing list For webmasters
?
New: Language forums
Dictionary/
thesaurus
Medical
dictionary
Legal
dictionary
Financial
dictionary
Acronyms
 
Idioms
Encyclopedia
Wikipedia
encyclopedia
?

Law of Demand

   Also found in: Encyclopedia, Wikipedia, Hutchinson 0.01 sec.
Law of Demand
In microeconomics, the idea that demand falls as prices rise and vice versa. For example, if prices for widgets rise, fewer people will buy widgets. See also: Supply and demand.

Law of Demand

What Does Law of Demand Mean?

A microeconomic law that states that all things being equal, as the price of a good or service increases, consumer demand for that good or service will decrease and vice versa.

Investopedia explains Law of Demand

This law summarizes the effect price changes have on consumer behavior. For example, a consumer will purchase more pizzas if the price of pizza falls. The opposite is true if the price of pizza rises.

Related Terms:
Consumer Price IndexCPI
Demand
Law of Supply
Macroeconomics
Market Economy



How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content.
?Page tools
Printer friendly
Cite / link
Email
Feedback
Add definition
? Mentioned in ? References in periodicals archive
 
However, assuming away the law of demand hardly qualifies as economic research.
 
Financial browser? ? Full browser
 
 
Financial Dictionary
?

Disclaimer | Privacy policy | Feedback | Copyright © 2009 Farlex, Inc.
All content on this website, including dictionary, thesaurus, literature, geography, and other reference data is for informational purposes only. This information should not be considered complete, up to date, and is not intended to be used in place of a visit, consultation, or advice of a legal, medical, or any other professional. Terms of Use.