Managerial Economicsbasic
Which case meets the economic meaning of demand for a good?
Answer
A person wants the good and can pay for it
Explanation
### Why this is right
Demand means effective desire, so both willingness and ability to pay must be present. A wish without purchasing power is not effective demand.
### The concept
Individual demand records how much one buyer would purchase at different prices during a stated period. Market demand adds the quantities demanded by all buyers. These schedules describe planned purchases, not merely a general liking for a product.
### The other options
- **B. A person wants the good but has no ability to pay**: Desire alone does not create effective demand.
- **C. A seller has produced the good but has no buyers**: This describes unsold supply, not demand.
- **D. A person can pay but has no desire for the good**: Purchasing power without willingness to buy is not demand.
### Remember
Economic demand requires both desire and ability to pay.
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