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Unformatted text preview: good when its price falls to $2. The market demand curve shows the total demand of the two consumers as 2 units at price $4 (2 + 0) and as 6 units (4 + 2 = 6) when price is $2. Such a geometric addition of demand curves is also known as lateral summation of demand . The market demand curve is flatter or more flexible than the individual demand curve. This is because of the fact that at every price the total demand in the market is much larger than that of any individual....
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- Fall '10
- Supply And Demand, market demand curve