Demand Prices within our economy are set by supply and demand. Demand refers to the desire to obtain a product or service. In order for there to be a demand there must be three things Consumers must want the good or service Consumers must be willing to buy the good or service Consumer must have the resource to obtain the good or service

Demand Two types of demand: Five factors affecting demand: Market demand Individual demand Five factors affecting demand: Change in the number of consumers Change in consumer income Change in consumer expectations Change in consumer taste Change in complements