Lesson 13:
Law of Demand
Objectives:
Students will be able to:
1) restate the law of demand
2) read a demand schedule and a demand curve
3) draw a demand curve from a demand schedule
4) identify and explain the four determinants of demand: tastes, income, the
price of related products, and the number of customers.
Activities:
1) Intro activity:
a) Understanding demand
What would students do if they inherited $10,000? How would their spending change?
Would they simply buy more of what they already buy, or would they purchase
different products? Point out that the fact that demand is more than a desire
to buy something; it is the ability and willingness to actually buy it. Students
will then discuss the four determinants of demand: Changes in income, tastes,
price of related products (complementary and substitute products) and the number
of customers cause people to demand either more or less of a product even if
its price does not change.
2) Demand Schedule and Demand Curve-Class Activity on the board.
b) Students make a demand schedule based on how many of them would buy a school
ring at various prices.
Ring Price Number Demanded
$25 _______________
$20 _______________
$15 _______________
$10 _______________
$5 _______________
c) Students make a demand curve based on the demand schedule.
Price
Number of students
(figure out as the price rises, what happens to the number of students)
3)Students are given the following problem set to work in groups.
Evaluation:
1) Class Participation, Work
2) Homework: Students will…
-Read Section B, pg. 69-72
-Answer “Self Check” questions on pg. 72
-Finish Problem Set