Explain How does demand work?

Answer 1

Demand refers to the quantity of a good or service that consumers are willing and able to purchase at various prices over a specific period. It is influenced by factors such as consumer preferences, income levels, and the prices of related goods. Generally, as the price of a product decreases, the quantity demanded increases, and vice versa, reflecting the law of demand. This relationship is typically depicted through a demand curve, which illustrates the inverse relationship between price and quantity demanded.