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2. What is supply? What is a supply curve shift? Why are people so demanding? What could cause a demand curve shift? To learn about the topics, click on the word bubble.. Show me a graph! What types of shifts are there?

3. DEMAND: Demand is the willingness and ability of a consumer to purchase a product.

4. Supply: Supply is the willingness and ability of a producer to produce a product.

5. A supply curve shift is the change in supply caused by an outside factor. This outside factor could be: Technological advancement New Resources or loss of resources More or less people in the workforce More companies in the marketplace

6. A demand curve shift is the change in demand caused by an outside factor. This outside factor could be: Income of the consumer Quality of the product Perception on the value of the product Popularity of the product Need for the product

7. Hey….what is that? That is a Supply and Demand curve What does it mean? It shows the demand for a good…see, line D? That is demand… Cool…but what about the S? That’s the SUPPLY curve…that shows the numbers of goods made… DO YOU: GET IT!! Need to see It again

8. Now, we need to discuss how a supply or a demand curve could change if impacted by an outside force, an EXTERNALITY!!! Supply and demand curves will MOVE depending on how an outside event impacts a particular market. For example, if there is a major drought, the supply curve for corn will shift to the left. Look at the graph below to see… In the same light, demand curves will also MOVE based on an outside event…say, for example, Miguel Cabrera says that his success as a baseball player is a direct result of drinking Gatorade…then the demand for Gatorade will change. Now that you see how this works…care to try a few on your own? You Bet! Nope..

9. Hey….what is that? That is a Supply and Demand curve What does it mean? It shows the demand for a good…see, line D? That is demand… Cool…but what about the S? That’s the SUPPLY curve…that shows the numbers of goods made… DO YOU: GET IT!! Need to see It again

10. Supply curve shifts Demand curve shifts Ford trucksIce CreamCoffee beans GasolineIce CreamHula Hoops Conclusion

11. Based on the following information…wh at would happen to the supply curve? Ford Motor Company has recently built a brand new factory in the state of Michigan, what will this do to the supply of Ford products? Supply Shift RIGHT Supply Shift LEFT

17. Yes, increased factory capacity Would lead to More cars available!

18. Demand curve Shift…RIGHT A demand curve shift to the right means that there is more demand for a particular product Demand curve Shift…LEFT A demand curve shift to the left means that there is LESS demand for a particular product Supply curve shift….RIGHT A supply curve shift to the RIGHT means that there is MORE supply of a particular product Supply curve shift….LEFT A supply curve shift to the LEFT means that there is LESS supply of a particular product

19. Based on the following information…wh at would happen to the supply curve? Ben & Jerry’s Ice Cream company suffered a major setback in the production of ice cream when the factory workers went on strike…. Supply Shift RIGHT Supply Shift LEFT

20. Yes, decreased factory capacity Would lead to Less ice cream available!

21. Based on the following information…wh at would happen to the supply curve? The Paramount Coffee company of East Lansing lost two of it’s five roasters to a small fire. Supply Shift RIGHT Supply Shift LEFT

22. Yes, decreased roasting capacity Would lead to Less coffee available!

23. Based on the following information…wh at would happen to the supply curve? Mattell, the leading producers of the world’s hula hoops, just aired a commercial showing Brad Pitt claiming his fitness level is completely based on his use of a hula hoop. What will happen to the demand for hula hoops based on this? Demand Shift RIGHT Demand Shift LEFT

24. Based on the following information…wh at would happen to the supply curve? The local weather station predicted that over the Fourth of July weekend there would be major heat wave in the state of Michigan Demand Shift RIGHT Demand Shift LEFT

25. Based on the following information…wh at would happen to the supply curve? On Tuesday of last week, local radio station 97.5 fm, offered gallons of gas at the local gas station for only.97 cents per gallon…what might this do to the demand curve? Demand Shift RIGHT Demand Shift LEFT

26. Yes, public opinion would lead to more demand for Hula hoops !

27. Yes, a major heat wave would lead to an Increased demand for ice cream!

28. Yes, such a cheap price for gasoline would result in higher demand!

34. -Impacted by outside factors -Can move right or left - a shift identifies how the price of the good might change -- but that is the next lesson…