The law of supply and demand is often misunderstood and misconstrued, and it has downstream effects for our understanding of economics. In this video, Learn Liberty Basics establishes supply and demand as ever-changing RELATIONSHIPS, not constants. We also lay out some of the early history of our idea of supply and demand. Be sure to check out the Learn Liberty Blog, too! You can read more about the tendency to understand economics as just charts and graphs here: https://www.learnliberty.org/blo

#The_Law_of_Demand The Law of Demand is a fundamental principle in economics that describes the relationship between the price of a good and the quantity demanded by consumers. It asserts that, all else being equal, as the price of a good decreases, the quantity demanded increases, and conversely, as the price increases, the quantity demanded decreases. Definition and Explanation The Law of Demand states that there is an inverse relationship between the price of a good and the quantity demanded.