DemandThe demand for anything, at a given price, is the amount which will be bought at that price. The term has no significance unless a price is stated or implied. The simple statement that so many thousand cars a year, or so many million tons of coal a year are demanded in Great Britain maybe intended to mean that for some years the prices of cars and coal have been fairly stable and that every year the volume of Sales in Great Britain has been very near the figure reported. But such a statement, taken literally, does not make sense, for the volume of sales that is the demand would be different. There is no doubt that if the prices of cars could be reduced enough, twice as many would be sold, and that if their prices went high enough, their sales would be halved. The amount bought of anything will vary and may vary considerably, with its price. In other words, the demand at one price is usually different from the demand at another price. Clearly demand must mean demand pur unit of time, per year or per month or per week or per day. Demand, it may be noted, is not the same as desire or need. There is no doubt that many people who cannot afford a car would like one, and also that many children need more milk than they get. But unless desire or need is backed up by ability and willingness to pay, it does not affect the volume of sales. The demand for a thing at a given price is the amount which would, in fact, be bought at the price.
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