The Marketplace: Demand. What is the Marketplace? A market is any place that buyers and sellers meet to voluntarily exchange goods and/or services. Can.

Slides:

Advertisements

Similar presentations

3.02Interpret the theory of supply and demand. Supply vs. Demand Supply- the amount Producers are willing and able to produce and sell. Supply- the amount.

Advertisements

Lesson 7-1 The “Marketplace”

Unit#2 NAME EconomicsDate/ Period Vocabulary Activity #1 Unit #2 1.Law of Demand-an increase in a goods price causes a decrease in quantity demanded 2.Purchasing.

Ch. 3: Supply and Demand: Theory

JA Economics Demand – Chapter 3

Turning in Chapter 3 homework  Numbers 4, 8, 10, and 18 Theory in Action report.

Demand. Quantity of a product that buyers are willing and able to purchase at any and all prices Consumers are interested in receiving the most satisfaction.

Chapter 3 Demand and Supply Huanren (Warren) Zhang.

Chapter 4 Demand. Free Enterprise Economy In the United States producers make and sell goods at the highest possible price. Buyers buy goods at the lowest.

Demand CHAPTER 3 SECTION 1: Nature of Demand

Chapter 3 Review Supply & Demand. What is a market: -an institution that brings together buyers and sellers.

Demand and Supply Demand and Supply DEMAND Chapter 4.

Section 1 Understanding Demand

CH. 3 – DEMAND AND SUPPLY By:J.A.SACCO. Demand What is meant by demand and supply? What are the basic elements that determine the price of anything? How.

Supply and Demand. Law of Demand The rule people will buy more at lower prices than at higher prices if all other factors are constant You must be able,

Do Now – How much would you pay for: Cold Soda Sneakers Sandwich Cell Phone.

Supply and Demand DEMAND DEFINED What is Demand? Demand is the different quantities of goods that consumers are willing and able to buy at different.

Economics Vocabulary Chapter 3

Economics Ch.4 Demand. Definition Demand means: How much of something a consumer is “willing and able” to buy, other things constant. This explains why.

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 THAT ___1____ ARE.

Chapter 7: Demand and Supply. A. Demand Think about a time you went shopping: Did you see something in the store and thought “who would ever buy that?!”

The Marketplace: Supply. Review What is a Market? What things must a government provide for a market to work? Why?

Chapter 4 DEMAND.

Economics Unit Three Part I: Demand. Demand Essentially, demand is the willingness (or desire) to buy a good or service and the ability to pay for it.

Unit 1-6: Basic Economic Concepts 1. DEMAND DEFINED What is Demand? Demand is the different quantities of goods that consumers are willing and able to.

Ch. 3 and 4 Demand and Supply. Ch. 3 Demand and Price Effect The Law of Demand – The inverse relationship between the quantity demanded and the price.

Supply & Demand. Market Economy In a market economy goods and services are made available through supply and demand Consumers decide what is supplied.

Demand Chapter 4.

Demand and Supply Chapter 3. Demand demand is a schedule that shows the various amounts of a product consumers are WILLING and ABLE to BUY at each specific.

Chapter 3. Demand Demand (D) is the amount of a good or service a consumer is willing and able to purchase at various prices during a given period of.

Demand and Supply Krugman Section Modules 5-7. Demand demand is a schedule that shows the various amounts of a product consumers are WILLING and ABLE.

SUPPLY & DEMAND. Demand  Demand is the combination of desire, willingness and ability to buy a product. It is how much consumers are willing to purchase.

+ Supply and Demand Why are some goods produced and not others?

Eco 7/1 Demand. The Marketplace In a market economy, consumers influence price of all goods and services. People decide what to buy and at what price-

Unit 4: Demand Copyright ACDC Leadership 2015.

Chapter DEMAND IN THE US ECONOMY. DEMAND Demand is the amount consumers are willing to buy at all prices. Consumers control the demand-side.

Chapter 4.  Demand – the desire AND ability to own or purchase  Does not refer to wishes or dreams  Law of Demand – the more it costs, the less you.

UNIT II Markets and Prices. Law of Demand Consumers buy more of a good when its price decreases and less when its price increases.

Demand A Schedule Showing the Consumers are Willing and Able to Purchase At a Specified Set of Prices During A Specified Period of Time Amounts of a Good.

Main Definitions Market: –All situations that link potential buyers and potential sellers are markets. Demand: –A demand schedule shows price and quantity.

Demand Chapter 3. Introduction  As a review:  Entrepreneurs and businesses will only make a profit if they bring something to the market that consumers.

 I can DEFINE supply and demand and understand how, together, they determine MARKET PRICES.

Factors the Affect Demand Unit 4.2. More About the Demand Curve Law of Diminishing Marginal Utility – The second item will not give as much satisfaction.

Law of Demand. Marketplace Consumers influence price of goods Demand is how people decide what to buy at what price Supply is how sellers decide how much.

9-12 Demand. Video Link pe=educator pe=educator.

Graphing using Demand & Supply Analysis Ch. 4,5,6 Economics.

1 Demand SECTION 1: Nature of Demand SECTION 2: Changes in Demand SECTION 3: Elasticity of Demand CHAPTER 3.

SUPPLY AND DEMAND CH 4 SEC 2 CH 5 SEC 1 CH 6 SEC 2.

d $ QdQd Markets Markets: Exist because no one is self- sufficient. Markets: Are needed to sell what we have and to buy what we want. A buyer and seller.

4.1 The Demand Curve 4.2 Elasticity of Demand 4.3 Changes in Demand.

Demand and Supply Chapters 4, 5 and 6. Demand demand is a schedule that shows the various amounts of a product consumers are WILLING and ABLE to BUY at.

What three factors determine the demand for a product?

Demand The Demand Curve Elasticity of Demand Changes in Demand CHAPTER 4.

Demand. Demand- defn Law of Demand-(price effect) people buy less of something at higher prices and vice versa; movement along the curve 4 reasons –Buying.

Chapter 7 Demand and Supply. Section 1 Demand The Marketplace  Consumers influence the price of goods in a market economy  Demand is how people decide.

 A market is an institution or mechanism which brings together buyers and sellers of particular goods and services. ◦ May be local, national, or international.

DEMAND. What you write: Demand (D) is the desire, willingness, and ability to buy a good or service Demand is on the consumer’s side What you need to.

Demand, Supply, and Market Equilibrium

Demand and Supply The market price for products and services is affected by the demand and supply of products and services If there is a high supply and.

Demand, Supply, and Market Equilibrium

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 Marketplace: Demand

ECONOMICS : CHAPTER 4-- DEMAND

SUPPLY & DEMAND.

Demand Chapter 4.

Demand and Supply Chapters 4, 5 and 6.

Markets, Demand, and Supply

Chapter 7: Demand & Supply

Demand Major Key Alert.

Presentation transcript:

The Marketplace: Demand

What is the Marketplace? A market is any place that buyers and sellers meet to voluntarily exchange goods and/or services. Can be local, national, international, or any combination.

Government’s role in a market For a Market to work, the government must provide:  Law and Order – Enforcement of Property rights, prevention of fraud, etc…  Standards of Measure and Money – people must have standard measures, and an established medium of exchange

What is Demand? Demand is a schedule of prices and the quantities buyers would be willing and able to take from the market at those prices. Law of Demand: Price and the quantity demanded are inversely related. (As one goes up, the other goes down.)

Demand Curve Quantity of Sodas demanded Price of a Soda

Demand Curve

Law of Demand Why?  Income Effect: with a fixed income you can buy more at lower prices  Substitution Effect: As the price increases you will seek to substitute other cheaper goods for it.  Law of Diminishing Marginal Utility: As you get more of a good, its utility decreases with each additional unit. (One hot dog vs. 12 hot dogs)

Demand Determinants Other than price, what determines Demand?  Tastes and Preferences (Can’t sell pork rinds in Jerusalem!)  Number of consumers  Incomes of consumers (can’t sell for more than people have)  Substitute Goods ($4 Pepsi vs. $1.50 Coke)  Prices of complimentary goods ($4/gallon gas will affect SUV sales)  Expectations (No one wants a Play-Station 2 when they announce PS3 release) If each of these remains constant, then Demand is set by the price.

What causes a shift? Anytime one of the other factors, other than price, changes. Examples?

Elastic Demand Price Elasticity of Demand  Explains how the demand for a good will change with a change in price. What determines how elastic demand for a good will be?  Availability of substitutes  Importance of the product in a consumer’s budget  Time period allowed for adjustment

Perfectly Elastic Demand What good would fit into this category?  Infinite substitutes  No difference between products Farmer John’s wheat harvest Very Rare

What good would fit into this category?  No substitutes Poncho’s at a rainy football game Sweatshirts at a suddenly cold baseball game. Very rare

Elastic Demand This is what you usually get  Almost always a substitute  People adjust in time