Which economic principle refers to the relationship between the availability of a product and the desire for that product?

The principle of supply and demand captures the fundamental relationship in economics between how much of a product is available (supply) and how much of that product consumers want (demand). When supply is high and demand is low, prices typically fall, while if demand exceeds supply, prices tend to rise. This dynamic interplay affects market prices and the quantity of products available, illustrating how consumer interests influence the market and vice versa. Understanding this principle is key to analyzing market behavior and making informed decisions about production, pricing strategies, and marketing.

The other concepts, while related to economic principles, do not specifically address the direct relationship between availability and desire for a product. Market equilibrium looks at the point where supply meets demand, consumer behavior studies how consumers make purchasing decisions, and price elasticity examines how sensitive consumer demand is to changes in price. Each of these plays a role in the broader economic landscape, but none captures the core relationship highlighted in the question as effectively as supply and demand.