Demand Worksheet

Worksheet on the Demand Curve

Demand Curve Assignment

1. How many cans of coke (or your favorite beverage) do you buy in an average month? (Assume a can costs 20 baht). Maximum of 2 cans.

2. How many cans would you buy if the price went up by (a) 10baht (b) 20baht?

a) 1 b) None

3. How many cans would you buy if the price went down by (a) 5baht (b) 10baht?

a) 1 b) 3

4. Use your answers to questions 1-3 to complete the following table:

|Price |Cans bought |

|50 baht |None |

|40 baht |None |

|30 baht |1 |

|20 baht |2 |

|10 baht |3 |

5. Using the graph paper provided, draw a graph, putting price on the `y' (vertical) axis and number of cans bought on the `x' axis (horizontal).

6. Now ask five of your friends how many they buy at each price and record your results:

|Price |A |B |C |D |E |Total |

|50baht |1 |1 |4 |3 |0 |9 |

|40baht |1 |2 | |7 | |15 |

| | | |5 | |0 | |

|30baht |2 |3 | |10 | | |

| | | |10 | |10 |35 |

|20bah |5 |4 |10 | |30 |63 |

| | | | |14 | | |

|10baht |6 |5 |20 |20 |50 |101 |

7. Now draw a graph similar to question (5) except the total number of cans bought is plotted against each price.

8. Can you explain the shape of the curve?

The slope is going down, as the price decreases, demand increases.

9. Suppose now your income doubles....