SSEMI2: Law of Demand, Law of Supply

Slides:



Advertisements
Similar presentations
Law of Supply MICROECONOMICS SSEMI2 Students will explain how the Law of Supply, prices, and profit work to determine production and distribution in an.
Advertisements

Do Now 1. A new video game system is released just before Christmas, and everyone's "gotta have it." As parents race to the store to buy the system for.
Unit 2: Supply, Demand, and Consumer Choice 1. Review 1. What is the law of demand? 2.
Jeopardy SupplyDemandEquilibriumGov. Interv. Other Q $100 Q $200 Q $300 Q $400 Q $500 Q $100 Q $200 Q $300 Q $400 Q $500 Final Jeopardy.
Demand & Supply. The Basics IV. Demand A. Law of Demand B. Demand Curve C. Determinants of Demand D. Change in Demand E. Change in Quantity Demanded.
MARKETS AND COMPETITION A market is a group of buyers and sellers of a particular good or service. The terms supply and demand refer to the behavior of.
Supply and Demand A competitive market is a market in which there are   many buyers and sellers   of the same good or service. The supply and demand.
What is the Law of Supply? MODULE 6 SUPPLY AND EQUILIBRIUM.
Supply and demand. Demand, Supply and Markets Demand is the amount of goods/services that people are willing to buy. Supply is the amount of goods/services.
Demand What is demand?. Demand Demand - The desire to own something and the ability to pay for it. Law of Demand – Consumers will buy more of a good when.
Demand Amount of goods or services a person is willing and able to buy Must not only want the good, but also be able to pay for it The law of demand states.
Notebook # 13- Economics 5-1
Do Now – How much would you pay for:
Supply and Demand.
Unit 2: Supply, Demand, and Consumer Choice
Scarcity and Supply and Demand
Aim: What is the law of supply and demand?
Chapter 4: Demand Section 1
Unit 2: Supply, Demand, and Consumer Choice
Unit 3: Supply, Demand, and Consumer Choice
Unit 2: Supply, Demand, and Consumer Choice
Equilibrium.
Definition of Supply Supply represents how much the market can offer. It indicates how many product producers are willing and able to produce and offer.
Supply and demand.
SUPPLY, equilibrium, & Price
Chapter 5.1 What is Supply? Pgs. 113 – 120.
Supply and Demand.
Understanding Demand Students will be able to identify characteristics of the law of demand. Students will be able to define and/ or identify the following.
Unit 2: Demand.
Supply & Demand #2: Law of Demand.
SUPPLY.
Standard SSEMI2a. Define the Law of Supply and Law of Demand.
Unit 2: Supply, Demand, and Consumer Choice
Unit 2: Supply, Demand, and Consumer Choice
Demand Demand is a relationship which shows the various quantities consumers are willing and able to buy of a good at different possible prices of a good.
The Economic Principles of: Supply and Demand
Chapter 4: Demand Section 1
Combining Supply and Demand
Unit 2: Supply, Demand, and Consumer Choice
Supply Unit 2: Supply and Demand.
What is supply?.
Vocabulary Review Week 3.
Unit 2: Supply, Demand, and Consumer Choice
Demand Graphs How do they change?.
Supply!.
The art of Supply and Demand
Supply & Demand: Law of Demand.
Supply.
Unit 2: Supply, Demand, and Consumer Choice
Obj. 7.7 Supply, Demand & Price
Supply Unit 2: Supply and Demand.
Chapter 4: Demand Section 1
Unit 2: Supply, Demand, and Consumer Choice
Unit 2: Supply, Demand, and Consumer Choice
Why an iPhone X costs more than an iPhone 8…
Unit 2: Supply, Demand, and Consumer Choice
Chapter 7 Section 1 Demand.
Supply.
Chapter 7 Section 1 Demand.
UNIT 2 IMPACT STATEMENT This saying will be used for 4 different definitions. All you will have to do is fill in the blanks!! THE AMOUNT OF A GOOD OR SERVICE.
Equilibrium.
Unit 2: Supply, Demand, and Consumer Choice
The Market Mechanism – Supply and Demand
Chpt 2: Supply and Demand
Chapter 4: Demand Section 1
Microeconomics: Supply
Supply & Demand #2: Law of Demand.
Demand, Supply, and Markets
Market: Group of buyers and sellers of a particular good or service
Chapter 21 Supply and Demand Chapter 21
Presentation transcript:

SSEMI2: Law of Demand, Law of Supply

As prices rise, the quantity demanded of a good or service will fall People buy less stuff when the price goes up! Or: As prices FALL, the quantity demanded of a good or service will RISE Quantity Prices Demand Quantity Prices Demand Law of Demand

Example: Ms. Yeomans needs some pencils for school At Walmart, she finds a box of 12 pencils is $1 This is such a great price she decides to buy 5 boxes! As she is going to the register she sees that all office supplies are on sale!!! This is great! She hurries back to grab 3 more boxes! Why did she buy more? $1

As the price a seller can charge for their good or service rises, the quantity supplied will increase Quantity Prices Supply Law of Supply

Example: Cardinal Diner makes and sells gingerbread cookies It costs them 10¢ to make the cookies so they have to charge at least 10¢ for them. They don’t make any money at this price though so they don’t make very many cookies. If they can charge 20¢ per cookie they will make 100 cookies to sell If they can charge 30¢ per cookie they will make 200 cookies to sell Why do they make more?

How do we know what price will eventually be charged? We use a Supply schedule and a Demand schedule A list of quantity supplied and quantity demand at a range of prices Example: Chicken sandwiches At $1 consumers will demand 43 chicken sandwiches but producers will only supply 1 Quantity Supplied Price Quantity Demand 49 $7 4 39 $6 8 29 $5 13 19 $4 12 $3 26 5 $2 34 1 $1 43