Law of demand,
Definition of Law of demand:
Observation that, as a general rule, the demand for a product varies inversely with its price; lower prices stimulate demand and higher prices dampen it. Law of demand holds in most instances, except in case of Giffen good.
How to use Law of demand in a sentence?
- The Chips Ahoy cookies have been on sale recently which makes me think the Law of Demand for them must be getting higher.
- One can analyze the process of the exchange of goods and services but if they ignore the law of demand they would be mistaken.
- If your business is going well and you cant keep the products on the shelf then the law of demand dictates you raise the price.
Meaning of Law of demand & Law of demand Definition