The Law of Demand

The law of demand is pretty straightforward: it says that when the price of something drops, people generally want to buy more of it, and when the price goes up, they buy less. Imagine your favorite pizza place. If they suddenly have a sale and lower the price of a large pizza, you’re probably going to order more because it’s a better deal. But if they raise the price, you might think twice or even skip it. The law of demand is all about this inverse relationship between price and the quantity of goods people are willing to buy. It’s a simple rule of thumb—lower prices usually mean higher demand, and higher prices usually mean lower demand.

Put simply, when something get's more expensive, it turns people off on wanting to buy it. If something gets cheaper or goes on sale, people will flock to buy it.