DEMAND

Demand is the quantity of a commodity that a consumer

is willing and able to buy, at each possible price during a
given period of time. It may be either with respect to:
• Individual Demand
• Market Demand

Efforts By- Harshit Kamra

11- E
 Price of the given commodity

Price of related goods-

Expectation of change in the
• Substitute Goods
price in future
• Complementary Goods
DETERMINANTS
OF
Tastes and Preferences INDIVIDUAL DEMAND Income of the Consumer

Change in Quantity Demanded Vs Change in Demand

When the Demand for the given commodity When Demand for the given commodity
changes due to change in its own price, then changes due to factors other than price, then
such change in demand is known as “Change such change in demand is known as “Change
in Quantity demanded”. in Demand”.
 DETERMINANTS OF MARKET DEMAND

1. Size and composition 2. Season and 3. Distribution Of

of population: weather: Income:
• It is affected by size of These conditions also affect If income in the country is
population in the country. the market demand for a equitably distributed, then
• Increase in population, commodity. market demand for the
raises market demand and vice For e.g.: clothing changes commodities will be
versa according to seasons. more. However, if uneven
the market demand will
remain low.
NOTE- Determinants of Market Demand also include determinants of Individual
Demand.