Demand in economics refers to the quantity of a good or service that consumers are willing and able to buy at a given price in a given time period. It is the ability of a consumer to buy goods and services in the market. The demand for a product at a certain price reflects the satisfaction that an individual expects from consuming the product, which is referred to as utility and differs from consumer to consumer. The demand for a good or service depends on two factors: its utility to satisfy a want or need, and the consumer’s ability to pay for the good or service.

Examples of demand in economics include:

• Price and Quantity: The law of demand introduces an inverse relationship between price and demand for a good or service. It simply states that as the price of a commodity increases, demand decreases, and vice versa.

• Income: The demand for normal goods increases as income increases, while the demand for inferior goods decreases as income increases.

• Tastes and Preferences: Changes in consumer tastes and preferences can lead to changes in demand for a good or service.

• Price of Related Goods: The demand for a good can be affected by the price of related goods. For example, if the price of a substitute good increases, the demand for the original good may increase.

• Number of Consumers: An increase in the number of consumers in a market can lead to an increase in demand for a good or service.

• Advertising and Marketing: Effective advertising and marketing can increase demand for a good or service.

• Seasonal Factors: Demand for certain goods or services may be affected by seasonal factors, such as demand for winter clothing during the winter season.