It states that, people will buy more at lower prices and buy less at higher prices other things remaining the same. When a price of a commodity increases, quantity demanded increases keeping other things constant.
There is an inverse relationship between the price of a good and demand.
1. As prices fall, we see an expansion of demand.
2. If price rises, there will be a contraction of demand.
(Visited 93 times, 1 visits today)
Share this:
