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Definitions from the Web

Law of Demand

Description:

The Law of Demand is an economic principle that states there is an inverse relationship between the price of a product and the quantity of that product demanded by consumers. According to this law, as the price of a product increases, the demand for that product decreases, and vice versa, assuming all other factors remain constant.

It is one of the fundamental principles in the field of economics and is used to explain consumer behavior and market dynamics.

Sample Sentences:

1. The law of demand states that as the price of a good increases, the quantity demanded of that good will decrease.
2. When the price of gasoline goes up, the law of demand suggests that people will use less of it and seek out alternative modes of transportation.
3. The law of demand is the reason why businesses often decrease prices during sales to stimulate consumer demand.

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