Demand

We've already looked at what is Supply and what influences it. Now, let's take a look at the other side of Supply & Demand.

Quantity Demanded vs. Demand

Demand, just like Supply, can be divided into Quantity Demanded and Demand:

• Quantity Demanded is the number of things that are demanded by consumers
• Demand is the line that indicates how the Amount Demanded changes with price

As you can see, if the price increases, the Quantity Demanded will decrease, but the Demand line doesn't change.

'Law of Demand'

This graphic is created by the Law of Diminishing Marginal Utility, which means:

• Diminishing: Getting Lower
• Marginal: Added
• Utility: The value/ satisfaction we get out of a product or service

Then, as the name suggests, this Law dicatates that, for every aditional unit of a product consumed, the less added satisfaction we get in return

Example

When eating pizza, the first slice tastes the best, the 2nd is still preety good, but the 8th is not so delicious , because we are already full of pizza.
A similar effect happens for all products we consume! From Steemit blog posts to movies.

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