An individual's need or desire for a product or service at a given price is called?

• A. Wants
• B. Demand
• C. Needs
• D. Scarcity

Answer: (C)

This item is about how price affects what people are willing and able to buy, which is demand. Demand means the quantity of a good or service a person is willing and able to purchase at a given price. It’s not just wanting or needing something; it also requires that you have the means to pay for it at that price.

Needs are basic requirements for survival and don’t inherently depend on price or the ability to pay. Wants are desires for goods or services but may not be backed by purchasing power. Scarcity describes the limited nature of resources, not the act of buying at a price. Because the statement focuses on a price and a purchase decision, demand is the best fit.