Demand, Individual Demand and Market Demand Video Lecture | SSC CGL Tier 2 - Study Material, Online Tests, Previous Year

hila welcome to an introductory AS micro
revision video on the difference between
individual demand in a market and market
demand so demand of course is the
quantity of a good or service the
consumers are willing and able to buy at
a given price in a given time period
economists focus sonic on effective
demand that's when demand for a product
the holiday it could be a meal out could
be a new car so where demand is backed
up by willingness and an ability to pay
so if you have the ability to pay for
good or service does demand become
effective or realized or action now the
individual demand curve is the demand
curve for a particular consumer for a
particular product I would normally
assume that the demand bear is inversely
with price cheaper price makes the
product more affordable for consumers so
the individual demand curve for a
product is nearly always drawn as
downward sloping if the price goes up we
see a contraction of quantity demanded
the price of a product goes down we see
an expansion of quantity demanded and of
course the demand curve individual
demand curve for products can shift d1
to d2 is an outward shift of demand
always demanded each price and that will
be caused by change in one or more of
the conditions of demand do you want to
do through is an inward shift of demand
there's less demanded at each price
level again caused by one or more of the
conditions of demand changing so we talk
about individual demand for individual
consumers we might also look at the
individual demand for a particular
product so let's take the newspaper
industry these are the most recent
figures for the daily circulation of
some of our leading newspapers some is
the leading newspaper has a circulation
of just over 1.7 million per day so that
would be for example the demand for a
particular product and of course that's
the aggregation of the choices made by
individual consumers at which newspaper
they choose to buy and to be firm even
including the Daily Express and the
Daily Mail as newspapers in this chart
just to be fair now the key thing is to
think about individual demand and make a
distinction with
market about best definition of market
demand is that it is the aggregation of
individual demand for product at each
price level market demand is the
aggregation of individual tomorrow let's
take for example the de market the
market demand for newspapers in there is
countries and you consume the right-hand
side here at between 2013 and the
forecast for 2017 there's a negative
compound annual growth rate of demand
for newspapers in countries such as the
UK Germany United States and Japan
presumably because people are migrating
pretty much to getting their news online
for example actually in emerging market
countries in India in India Indonesia
China Brazil is actually still a kind of
strong compound growth positive compound
growth rate for newspapers so market
demand for newspapers of those countries
continues to grow tell you something
about the income elasticity of demand
for newspapers in those countries but
here everybody were thinking about
market dinar the aggregation of
individual demand and there's an example
of a product where the market demand is
growing and growing quickly so
newspapers you can argue in the West
already climbing force that some
newspapers have closed the independence
has moved online only whereas if you
look at the market for wearable devices
where were cameras small glasses smart
clothing then you can see that the
shipments per year through to 2015 are
growing extremely quickly so this is to
do with economic factors so it's to do
with social network factors but the
market demand for wearable devices is
increasing and the key point again is
that that is the aggregation of the
individual choices made in markets by
consumers so this has been a short video
looking at the difference between
individual demand and market demand