Economists use the term ceteris paribus as a ''short hand'' for all other variables
remaining the same.
What are these other variables? Some of the factors that effect demand include consumers'
incomes, their tastes and preferences, the season... there are many factors that effect
demand. We will investigate some of these in more depth later.
Demand, in a market economy, means the behaviour of consumers who are
able to buy the commodity. If you have no money, your tastes and
preferences are simply ignored.
When we talk about demand, we are talking about effective demand.
