Making a demand curve, understanding what a demand schedule is.
Via Scoop.it – Teaching Economics
Labels: econ help, law of demand In this post we will go over what a demand curve is, what it means, and how we can construct one. I will also remind you that when constructing a demand curve remembering the letter D is important, as in D for demand, and D for down (because demand curves are always downward sloping, and if a teacher gives you a question where the demand IS upward sloping then it is a giffen good which doesn’t exist and your teacher is being frustrating). Anyways, when constructing a demand curve you need a demand schedule. A demand schedule shows you the quantity that will be demanded at every price level. We can relate this to our own lives pretty easily. If something is cheaper, we are going to buy more of it! Think about jeans, if you see a pair of jeans you really like for $30, you may buy one or two. But now the same jeans are $10, you may buy four or five. Now consider EVERYONE in the economy. If the price of jeans goes to $10, then a whole lot more of them are going to be sold. This is, in essence, what goes on behind a demand curve.