Characteristics of Demand

Characteristics of Demand:

There are three main characteristics of demand in economics.

i.Willingnessand ability to pay.Demand is the amountof a commodity for which a consumer has the wiliness and also the ability to buy.

ii.Demand is always at a price. If we talk of demand without reference to price, it will be meaningless.The consumer must tell both the price and the commodity. He will then be able tell quantity demanded by him.

iii.Demand is always per unit of time. The time may be a day, a week, a month, or a year.

Example:

For instance, when the milk is selling at the rate of TK. 60 per liter, the demand of a buyer for milk is 10n liters a day. If we do not mention the period of time, nobody can guess as to how much milk we consume? It is just possible we may be consuming ten liters of milk a week, a month ora year.

Summing up, we can say that by demand is meant the amount of the commodity that buyers are able willing to purchase at any given price over some given period of time. Demand id also described as a schedule of how much a good, people will purchase at any price during a specified period of time.