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Demand Curve By: Mustafa Abdalla
Demand Curve
By: Mustafa Abdalla
Table of contents The Difference Between Demand And Supply
Demand Curve Graph
Factors Of Demand
Shift In The Demand Curve
Law Of Demand
Example Of Law Of Demand
Why Does The Demand Curve Shift?
Increase In Demand
Why Does The Demand Curve Increase?
Decrease In Demand
Why Does The Demand Curve Decease?
The Difference Between Demand
And Supply• Demand is what the customers are
willing to buy at different prices. • Supply is how much the business
produces the product they are prepared to sell at different prices.
Demand Curve Graph
10 20 30 40 50 60 70 80 90 100 1100
20
40
60
80
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120
Demand Curve
Quantity Demanded
Pric
e (Q
R)
Factors Of Demand Price IncomePrice of other goodsTastes and preferences Popularity Advertising Expectations of the futurePopulation Interest rate
Shift In The Demand Curve
0 20 40 60 80 100 1200
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40
60
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120
Demand Curve
Quantity Demanded
Pric
e (Q
R)
Law Of Demand If the price goes down, the quantity
demand goes up.
The more cheaper the product is the more buyers you will get.
Example Of Law Of Demand
O If you sell a new PS3 320GB in a store for 1500QR not a lot of people will buy the system, then you reduce the price to 1200QR more people will start to buy and reduce the price to 900QR even more people will buy the system everyone will save up for the ps3.
Why Does The Demand Curve Shift?
o For a given price level the quantity demanded will change.
o A shift to the left could be from lower income.
o A shift to the right could be from higher tastes and preferences.
Increase In Demand
0 20 40 60 80 100 1200
20
40
60
80
100
120
Demand Curve
Quantity Demanded
Pric
e (Q
R)
Why Does The Demand Curve Increase?
More income Tastes and preferences Good advertisement More population Popular Future price is cheap
Decrease In Demand
0 20 40 60 80 100 1200
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40
60
80
100
120
Demand Curve
Quantity Demanded
Pric
e (Q
R)
Why Does The Demand Curve Decease?
O Lower incomeO Price of other goodsO Unpopular O No tastes and preferences O Bad or less Advertisement O Fall in population numbers O Expectations of the future
