DEMAND
refers to the various
quantities of a good or
service that people
will be and able to purchase
at various prices during
a period of time,
DEMAND SCHEDULE
Graph the demand schedule in
graphing/bond paper & share
with the class, Price = Y
axis
p) Quantity demanded = X axis
Price
DEMAND
CURVE
Demand Curve
Quantity
LAW OF DEMAND
there is an inverse
relationship between price
and quantity demanded,
other things remaining the
same,
SUPPLY
refers to the various
quantities of a good or
service Will
be able to offer for
sale at various prices
during a period of time
SUPPLY SCHEDULE
Graph the supply schedule in
graphing/bond paper & share
with the class,
Price = Y axis
Supply = X axis
50
SUPPLY
40
30
CURVE
20
10
1 2' 3 4 5 6
Quantity q (hours)
LAW OF SUPPLY
there is a direct relationship
between price and supply,
other things remaining the
same,
All other
CETERIS
things
remains
PARIBUS e constant
a
OTRER FACTORS
INCOME
AFFECTING
DEMAND
PACCESORIOSGX
PRICES OF RELATED
COMMODITIES
EXPECTATIONS
TASTE
oo—øpooo
NO, OF CONSUMERS
s
EQUILIBRIUM
PRICE (EP)
agreed price between
buyers and sellers
Quantity q
Excess Supply
When there are
EP = EQ (No excess)
disagreements among
Excess Demand the price and
quantity
DISEQUILIBRIUM
MOVEMENT ALONG
ΤΗΕ ClJRVE
DEMANO & ςυΡΡΙΥ
price
Movement along the demand curve
12
Contraction along
the demand curve
10
Extension along the demand
curve
40
55
75 www.economicshelp.org
SHIFT OF THE
CURVE
(Other Factors)
DEMAND & SUPPLY
Shift of the Demand curve to the Right
Price
INCREASE
DEMAND
Quantity
Copyrglt: •wa.eccna{ll.icaorleexv.uk
Shift of the Demand curve to 'the Left
Price
DECREASE
DEMAND
Quantity
Copyright: vmw.economxsonli neco„u k
Shift of the Supply curve to the Right
Price
INCREASE
SUPPLY
Quantity
Copyn,ght:
Shift of the Supply curve to the Left
Price
DECREASE
SUPPLY
QI Q
Quantity
SHIFT OF THE
DEMAND CURVE
1. Minimum wage increases.
2. The price of Indian Mangoes increases, what happens
to the demand of bagoong?
3. There is an upcoming Super Typhoon,
4, The price of Lechon increases in the Christmas
season.
5. There is an increase in birth rate.
SHIFT OF THE
SUPPLY CURVE
1. There is a price increase in Flour, what
happens to the supply of bread?
2. Value-added Tax increases.
3, Price decreases on equiprnent,
4.As El Nina persists, what happens to the
supply
of rice?
ACTIVITY
Look for current issues that affects the increase &
decrease of Demand & Supply.
Cite 2 for each and draw the curve in graphing/bond paper
and submit on Jan 15.
a. Demand Shift to the right (2)
b. Demand Shift to the left (2) c,
Supply shift to the right (2)
d. Supply Shift to the left (2)