Consumers- Create demand for a product of service
Demand- The amount consumers will like to buy. It is not what they do buy but WANT
Effective Demand- The amount consumer are willing and able to buy.
Market Demand- A table showing the different quantities of a good that consumers are willing and able to buy at various prices over a given period of time.
This is a demand and supply diagram. In this diagram the demand curve SHIFTS to the left(from D1 to D2). This is bad. When the demand curve shifts, this means that the demand has decreased even though you are selling the product at the same price. A shift in demand can be caused by advertisements(shift to the right=GOOD) or by an article saying the product is good/bad.
Supply curves can also shift. This can be caused by eg. a typhoon destroying a rice field (shift to the left).
Just remember LEFT IS BAD, RIGHT IS GOOD
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