Market Demand
Definition
Market demand refers to the total quantity of a good or service that all consumers are willing and able to purchase at various price levels in a specific market. It is the sum of individual demand curves.
Analogy
Imagine you're at a shopping mall with your friends, and each of you has a list of items you want to buy. The market demand is like adding up all the items on everyone's lists together to see how much stuff people want to buy in total.
Related terms
Individual Demand: The quantity of a good or service that an individual consumer is willing and able to buy at different prices.
Law of Demand: The inverse relationship between the price of a good and the quantity demanded, assuming other factors remain constant.
Substitutes: Goods or services that can be used in place of one another, such as Coke and Pepsi.
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