The Demand Curve is the Marginal Benefit (MB) Curve (2023)

What is the demand curve based on? The Answer: The marginal benefit received by the consumer(s) of the good. To create a demand curve, economists simply arrange the Marginal Benefit of the good into descending order. It is the putting of the Marginal Benefit amounts in descending order that creates a “Demand” curve: a curve that communicates the quantity demanded at each price point.
So, as stated, the Demand curve is based on the Marginal Benefit each good provides to the consumers. The MB is often referred to as Marginal Private Benefit. The word “Private” is added to the term to communicate benefits received only by the consumer of the good are being considered.
This video is made for 1st year college students or AP/IB Economics students. It focuses on foundational economic concepts.