Fundamentals >>  Demand

Movement along the demand curve

  • This is also known as changes in quantity demanded.
  • This happens when only the price of the good under consideration (variable measured on the y-axis) changes, rest of the determinants (i.e., all other non-price determinants of demand) stay the same.
  • Now how does quantity demanded react to a rise (or a drop) in the price of coffee.
  • As the price of coffee goes up, we buy less of it and vice versa.
  • Here you move up (or down) the same demand curve.
  • This is called a movement along the demand curve.