Demand Curve Definition Shift Elasticity Examples
What is a Demand Curve? According to the law of demand, when product price decreases, its demand increases and vice-versa. The fundamental principle charts the change in the demand for goods (measured in quantity) at different price levels. Demand Curve Explained The demand curve correlates goods demand at various price levels. Demand can be elastic or inelastic. Elasticity here refers to demand being sensitive to priceSensitive To PricePrice Sensitivity, also known and calculated by Price Elasticity of Demand, is a measure of change (in percentage term) in the demand of the product or service compared to the changes in the price....