As shown in Fig. DD is the demand curve. A downward movement on the same demand curve from point a to point b indicates an expansion in demand. In economics, the terms change of quantity and change of demand are two different concepts. In such a case, it is wrong to say that demand increases or decreases, rather than an increase or decrease in the quantity demanded. When the quantity demanded by a commodity increases as a result of the fall in price, it is called an expansion (or expansion) of demand (a downward movement in the demand curve), and when the demand for quantity decreases as a result of an increase in the price of the commodity, it is called a contraction of demand (a downward movement in the demand curve). Thus, the expansion and contraction of demand implies a change in the quantity demanded due to a change in the price of the commodity, while other things remain the same. The expansion and contraction of demand is represented by a movement (downward and upward) along the same demand curve. In these cases, there is no change in demand. It should be recalled that the expansion and contraction of demand is only due to price changes if other determinants of demand such as taste, income, propensity to consume and prices of related goods remain constant. These other factors, which remain constant, mean that the demand curve remains the same, i.e. it does not change its position; Only the consumer goes down or up on it. Now, when the price of the property falls on OP`, the quantity requested for the good goes up to ON.
Thus, there is an extension of the demand for the MN amount. On the other hand, if the price of the good increases from OP to OP, the quantity demanded of the goods falls on OL. Thus, there is a decrease in demand due to ML. So we see that as a result of changes in the price of a good, consumers move along the given demand curve; The demand curve remains the same and does not change position. We have studied according to the law of demand that other things remain the same when the price of a commodity increases, its demand decreases, and when the price of the commodity falls, its demand increases. Figure 11 shows the expansion and contraction of demand: on the other hand, the fall in demand refers to the fall in demand for a product at a certain price. For example, vital goods such as salt would be consumed in equal quantities, regardless of an increase or decrease in their price. Therefore, the increase in demand implies that the demand for a product increases at all costs. Similarly, the drop in demand can also be called the same quantity that is demanded at a lower price as the quantity that is demanded at a higher price. Changes in the quantity demanded can be measured by the movement of the demand curve, while changes in demand are measured by changes in the demand curve. The terms, change in the quantity demanded, refer to the expansion or contraction of demand, while the change in demand means an increase or decrease in demand. Demand expansion refers to the increase in the volume of demand solely due to lower prices, while other factors such as taste, consumer income, population size, etc.
remain unchanged. Demand moves downward on the same demand curve. This is done using fig. For example, consumers would reduce their milk consumption if milk prices increased and vice versa. Expansion and contraction are represented by movement along the same demand curve. The point-to-point movement in a downward direction shows the expansion of demand, while an upward movement shows the contraction of demand. The expansion and decline in demand is illustrated in Figure 7.3. Assuming that other things such as income, taste and fashion, the prices of related goods remain constant, a DD demand curve products remains constant, a DD demand curve has been drawn. We will see in this figure that if the price of the good is OP, then the quantity requested of the goods is OM. It is important to understand the difference between the concepts of demand and the quantity required, as they are often confused with each other. Demand represents the entire demand plane or demand curve and shows how the price of a good is related to the amount that consumers are willing and able to buy, keeping constant other factors that determine demand.
.