Entrance Slip Activity
1. Product prices give consumers and businesses a lot of information besides just the price. What kind of information?
Classroom Activities: Essential Questions
1. Describe the determinants of demand. Why are they important?
2. As the world population ages, will the demand for cholesterol drug increase, decrease, or remain the same? Assume there is a positive relationship between aging and cholesterol levels. Would this cause a change in demand or a change in quantity demanded?
3. Describe some of the reasons why supply changes. Improved technology typically results in lower prices for most products. Why do you think this is true? Describe the difference between a change in supply and a change in quantity supplied.
4. If a strong economic recovery boosts average income, what would happen to the equilibrium price and quantity for a normal good?
5. Suppose the market for tomatoes is in equilibrium, and events occur that simultaneously shift both the demand and supply curves to the right. Is it possible to determine how the equilibrium price and/or quantity would change?
Entrance Slip Activity
1. Product prices give consumers and businesses a lot of information besides just the price. What kind of information?
Classroom Activities: Essential Questions
1. Describe the determinants of demand. Why are they important?
2. As the world population ages, will the demand for cholesterol drug increase, decrease, or remain the same? Assume there is a positive relationship between aging and cholesterol levels. Would this cause a change in demand or a change in quantity demanded?
3. Describe some of the reasons why supply changes. Improved technology typically results in lower prices for most products. Why do you think this is true? Describe the difference between a change in supply and a change in quantity supplied.
4. If a strong economic recovery boosts average income, what would happen to the equilibrium price and quantity for a normal good?
5. Suppose the market for tomatoes is in equilibrium, and events occur that simultaneously shift both the demand and supply curves to the right. Is it possible to determine how the equilibrium price and/or quantity would change?
Related textbook solutions
Related questions
-Demand and Supply Balance
Table 1: Coffee Prices in Saudi Riyal per pound
| Price in SAR | Quantity Demanded (in bags) | Quantity Supplied (in bags) |
| 5 | 200,000 | 80,000 |
| 6 | 180,000 | 120,000 |
| 7 | 160,000 | 160.000 |
| 8 | 140,000 | 200,000 |
a.) Draw the supply and demand curve.
b.) What are the equilibrium price and equilibrium quantity?
c.) What is going to happen to the equilibrium price and equilibrium quantity if a draught is going to destroy the coffee harvest in Brazil, one of the largest coffee bean producers in the world? Just mention the direction of change, not any actual numbers.
d.) What is going to happen to the equilibrium price and equilibrium quantity if, in addition to the draught in Brazil, a global recession reduces the demand for coffee beans?
