Why is the demand curve downward sloping

The demand curve shows how different prices of a commodity affect the quantiy demanded by consumers.Price is always show on the y-axis (vertical) and quantity on the x-axis (horizontal). These two variables have a negative relationship with each other, creating the downward slope.

To fully understand this, imagine an economy of consumers ranging from the super rich to the super poor. When the price of a good is very high only a small amount of the economy can afford it and so the quanity demanded by consumers will be smaller. As the price of the good decreases more of the economy will be able to afford the good and the quantity of demand increases. This relationship then creates a downward sloping curve.

Answered by Remi G. Economics tutor

6486 Views

See similar Economics GCSE tutors

Related Economics GCSE answers

All answers ▸

Evaluate the use of supply side policies as a means of controlling UK inflation (30 marks)


What is the Phillips curve?


Evaluate the impact of a fall in the price of oil on the market for diesel cars


What are some of the sources of unemployment?


We're here to help

contact us iconContact usWhatsapp logoMessage us on Whatsapptelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

© MyTutorWeb Ltd 2013–2025

Terms & Conditions|Privacy Policy
Cookie Preferences