Demand - Residual Demand Curve

Residual Demand Curve

The demand curve facing a particular firm is called the residual demand curve. The residual demand curve is the market demand that is not met by other firms in the industry at a given price. The residual demand curve is the market demand curve D(p), minus the supply of other organizations, So(p): Dr(p) = D(p) - So(p )

Read more about this topic:  Demand

Famous quotes containing the words residual, demand and/or curve:

    The volatile truth of our words should continually betray the inadequacy of the residual statement. Their truth is instantly translated; its literal monument alone remains.
    Henry David Thoreau (1817–1862)

    Productive collaborations between family and school, therefore, will demand that parents and teachers recognize the critical importance of each other’s participation in the life of the child. This mutuality of knowledge, understanding, and empathy comes not only with a recognition of the child as the central purpose for the collaboration but also with a recognition of the need to maintain roles and relationships with children that are comprehensive, dynamic, and differentiated.
    Sara Lawrence Lightfoot (20th century)

    And out again I curve and flow
    To join the brimming river,
    For men may come and men may go,
    But I go on forever.
    Alfred Tennyson (1809–1892)