Demand is the consumer's need or desire to own a product.
What is Demand
Now 50% off
The lower the prices the more demand for a product there is
The higher the prices the less demand for a product there is
New and higher prices
$1 $2 $3 $4 $5 $6
5 10 15 20 25 30
The higher the prices less product is being sold therefor the lower the prices more product is being sold
When there isn't enough supply the demand goes up because not as many people get the product being sold.
During deflation prices for a product may lower but the people in the area might not be able to afford the costly prices therefor the demand drops tremendously. Which might cause a business to remain empty and close down.