What is the law of demand?

The law of demand states that as the price of a good or service rises the quantity demanded will subsequently decrease. Opposingly, lower prices cause an increase in quantity demanded. 

NH

Related Economics IB answers

All answers ▸

Explain the meaning of the law of demand; distinguish between movements along and shifts of the demand curve.


Explain why the marginal cost curve intersects the average cost curve at its minimum point?


Evaluate the view that economic growth is best achieved through improvements in technology


What is the difference between a monopoly and monopolistic competition?