1. Demand Curve Shifts Understand and explain the 5 determinants of demand shifts Understand the difference between a change in quantity demanded and demand Analyze demand curves to illustrate shifts and what is happening in the marketplace

2. Change in Quantity Demanded vs Demand Quantity Demanded: A move along the curve…look at your sheet (point to this idea) –Only can be caused by a change in price!!! Demand: Shift in the entire curve…look at your sheet (point to this idea) –People deciding to buy different amounts of the product at the same price

3. Change in Demand T.I.R.E.S. –Tastes: change of opinion (ads, fashion, trends) –Income: have more or less $ to purchase goods –Related goods: other choices that meet the same needs at different prices –Expectations: future possibilities in the market –Size of market: if more/less people are in the marketplace for a product, demand changes All shifts could occur to the right (increase in demand) or to the left (decrease in demand)

4. Activity Each group will be assigned a specific demand “shifter” (T.I.R.E.S.) –Take the starting scenario and apply the shift –Create a market scenario that would cause your shift to occur –Graph out and be ready to explain to the class Complete on your sheet (just your shift; you will get the others from different groups)

5. The Scenario… The next formal dance at Conestoga is upcoming next week…everyone needs flowers! PriceQuantity $300 $251 $203 $156 $1010 $515 Demand Schedule: