Activity 3.1
Demand Quiz

Demand affects what you pay for your jeans, your food, concert tickets, just about everything you purchase. This tutorial is designed to help you understand the role that demand plays in determining the price of goods and services.

The first concept to understand about Demand is the Law of Demand. This is not a law in the legal sense of the word but rather a statement of how the price and quantity of a good affects the demand for that good.

The Law of Demand -

  • all things being equal (ceteris paribus) as the price of an item increases, the quantity demanded will decrease. As the price of an item decreases, the quantity demanded will increase. When the price drops, people who could not afford the item can now buy it, and people who weren't willing to buy it before will now buy it at the lower price.

Part A: What is Demand ?
Demand is defined as the quantity of goods or services that consumers will purchase. While you read the tutorial provided below, become familiar with the following terms: demand, quantity demanded, demand schedule, demand curve, law of demand, and determinants of demand.
It is recommended that you take notes on this information and place them in your portfolio.

Bob is heading off to college and has some shopping to do.
Learn about the concept of demand by reading about his dilemma.

Click on Bob to access this tutorial. 
(http://ecedweb.unomaha.edu/Dem_Sup/demand.htm)
Part B: Reading a demand schedule and demand curve
A demand curve is a graphical representation of the vocabulary listed above. Knowing how to analyze a demand curve will help you understand how prices of goods and services are determined.

A sample demand schedule and demand curve has been placed in the Media Center. Helpful hints on how to interpret a demand curve are provided.

Click on the image below to access this tutorial. (3.1a)
Let's see what you have learned about Demand!
After going through Parts A and B above, perhaps now you better understand the concept of demand. Your final task for Activity 3.1 is to take the Demand Quiz.

Activity 3.1 Demand Quiz
50 Points

Go to the Assignment Area to take the Demand Quiz.


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