According to the Law of Demand, when all other factors remain equal, the higher the price of a good, the less people will demand it and vice versa. This law states that for any given product or service, consumers will buy more when the price is lower and less when the price is higher. Put simply, an increase in price results in a decrease in demand and a decrease in price leads to an increase in demand. By understanding this relationship between price and demand, businesses can better identify trends in their industry and adjust their prices accordingly.