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Supply and Demand
Ashley Fe Relova
& Mrs. Rieffel
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Supply and Demand
At the end of this presentation, you = will = know….
<= span style=3D'font-family:"STOMP_Dream Orphans";font-size:125%'>ü The Laws of = Supply and Demand
ü Why changes = in demand or supply affect the price on products <= span style=3D'font-family:"STOMP_Dream Orphans";font-size:125%'>ü Why prices a= re important in an economy
------=_NextPart_01C5C529.571A0060 Content-Location: file:///C:/B133D464/SAD_files/slide0004.htm Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii" Supply and Demand
Consumer Questions
•You spot a dress shirt at the department store that = you know you wou= ld look amazing in.  You look at the price tag...$25.99. You then ask yourself…
•
ØAm I willing to pay $26 for this item?
ØIs this item really worth $26?
<= span style=3D'font-family:"STOMP_Dream Orphans"'>ØDo I really want the dress shirt that badly?
------=_NextPart_01C5C529.571A0060 Content-Location: file:///C:/B133D464/SAD_files/slide0005.htm Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii" Supply and Demand
•   Economists say that = at the price of $26, you are = =  
At the price of $7 you are willing to buy four dress shirts.  <= /div>
This is an example of the <= i>Law of Demand.
<= /div>
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DEMAND
•
•Demand is the willingness and abilit= y to buy a partic= ular product at a particular price at a particular time. <= /div>
•
•The Law of Demand states that more of an item will be purchased at a lower price than at a higher price.
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