Demand curve

This refers to a graphical representation of the amount of demand for a good or service against different price points.

For almost all goods and services (note, see Giffen good for an exception) the curve typically slopes downwards from high demand at low prices to low demand at high prices. The shape of the curve may be influenced by external factors such as taxation (for example if additional taxation is applied on purchases above a certain level) and the availability of alternative products or services (for example as the price gets closer to the price of a superior or alternative product demand may drop more sharply).

Demand Curve Graph

Demand curve is a term normally found in business economics, financial management and strategic planning;

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