Response Questions 9/11/13

2. What is increasing demand for endangered wildlife trade?

3. If Thai and American authorities are able to limit the amount of wildlife in the black market what do you think

will happen to demand for endangered wildlife? Why?

1. Describe the endangered wildlife trade?

Graphing Demand

What we know about Graphing Demand

What is the below chart called?

Demand Schedule

Can anyone explain why the demand curve slopes downward?

The Law of demand! As price decreases

demand/quantity sold increase.

D3

D2

Shifts in Demand CurveAll of the determinants that

we’ve discussed (advertising, population,

income, etc.) will shift the demand curve one way or

another.

When demand goes up the curve shifts right.

When demand goes down the curve shifts left.

100 200 300

$1.00

Susie is an 11 year old Entrepreneur. she sells cookies

from a stand in front of her house.

Susie has come to realize that $1.00 a cookie is the best price

to sell.

Examples

How many cookies will she sell at 1 dollar?

Susie decides to create a big sign advertising her cookies on the main road near her house.

Demand increases!

will the curve go right or left?

About how many will she sell now?

D2

Examples

Susie is doing great until her arch enemy, Victoria, opens her

own cookies stand down the street cutting into Susie’s

lucrative business.

What way will the demand curve shift? Left or Right?

100 200 300

$1.00

D3

About how many cookies will Susie sell at 1 dollar with Victoria as competition?

Take a second and think about our determinants, what might be some ways that

Susie might sell more cookies?

Nonprice Determinants of Demand

So far we’ve discussed six nonprice determinants

A nonprice determinant is something that will shift the demand curve one way or another.

Income complementary substitutes

ExpectationsAdvertising Population

Each one will shift the Demand Curve differently

Impact of Nonprice Determinants on Demand

Right now I will pass out a practice sheet so you can have a crack at figuring out how non-price

determinants effect demand.

For each question you will be asked to do 3 things.

a) What is the determinate being discussed?

B) How will demand be effected in the example and why?

c) Display which way the demand curve will shift on the graph.

To Sum up our Demand discussion

Please write up your own scenario Demand scenario and include:

1. What your product is.

2. What is the best price to sell it at.

3. Include two instances where a non-price determinate effected demand for your product.

4. create a simple graph to demonstrate.

Please do this in your response section and you are done for the day!