In order to comprehend the ontological construction below, please refer to other my post for all notions in italic.
Any price increase of the deficit commodity tends to decrease the demand for it, and any decrease in price of the surplus commodity tends to increase its demand. The commodities are demanded in order to be utilised for some productive consumption, and through the goods acquired in that way further demand to be supported. A higher price signals diminished relative quantity of that commodity, for the subsequent production of the other commodity will decrease and also the demand generated through it. Exactly the opposite is in order with a lowering price: more is acquired and bigger demand is affordable.
Historical Backdrop
• JOHN LOCK Some Considerations on the Consequences of the Lowering of Interest and the Raising of the Value of Money: rent.
• JAMES DENHAM-STEUART Inquiry into the Principles of Political Economy: demand.
• GREGORY KING Natural and Political Observations and Conclusions upon the State and Condition of England: law of demand.
• PIETRO VERRI Meditations on Economic Politics: mathematical form of the law of demand.
