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Demand Curve : A graph that shows the quantity demanded for a given good at different prices. This is from the video “ The Demand Curve ” in the Principles of

Demand Curve: A graph that shows the quantity demanded for a given good at different prices. This is from the video “The Demand Curve” in the Principles of Microeconomics course.

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So what does this mean?


Well, let's start with the demand curve. In short, a demand curve shows how much of a good people will want at different prices. What happens when there's a big sale? Well, at a lower price people buy more. More shirts, more pants, more video games, and they do stuff like this. This is what happens on Black Friday when retailers lower their prices to get people to buy stuff for Christmas. The demand curve illustrates the intuition for why people go nuts on Black Friday. Price is shown on the vertical axis, and quantity is shown on the horizontal. Here's the normal price, and here's the Black Friday reduced price. Simply put, the quantity demanded increases as the price gets lower.

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