Question

Distinguish between desire and demand

Answer 1

Desire

1. Desire simply refers to the mere wish of a person to have a particular commodity, irrespective of the fact whether one can buy it or not
2. There are no limitations for a desire. A person can desire anything at any point of time
3. Desire has no relation with price, place and time
4. Desire has a narrow scope as it includes demand

Demand

1. Demand refers to a desire backed by the ability to pay and willingness to pay for a particular commodity
2. There are several limitations for a demand such as ability to pay, willingness to buy etc
3. Demand has relation with price, place and time
4. Demand has a wider scope as it is part of desire