This preview has intentionally blurred sections. Sign up to view the full version.View Full Document
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....
View Full Document
This note was uploaded on 11/26/2011 for the course ECONOMIC ec 201 taught by Professor - during the Fall '10 term at Montgomery.
- Fall '10