Practical Demand Schedule Examples for High School Economics

📚 Quick Study Guide: Understanding Demand Schedules

• 💰 What is a Demand Schedule? A demand schedule is a table that shows the quantity of a good or service that consumers are willing and able to purchase at different prices, during a specific period, all else being equal (ceteris paribus).
• 📉 The Law of Demand: This fundamental principle states that, all else being equal, as the price of a good or service increases, the quantity demanded decreases, and vice versa. This inverse relationship is why the demand curve slopes downward.
• 📊 How to Read a Demand Schedule: Each row in the table represents a specific price point and the corresponding quantity consumers would demand at that price. For example, if a slice of pizza costs $3, consumers might demand 100 slices, but if it costs $1, they might demand 300 slices.
• 🗓️ Factors Influencing Demand (Determinants): While price affects quantity demanded, other factors shift the entire demand curve. These include:
  • income levels (normal vs. inferior goods)
  • consumer tastes and preferences
  • expectations about future prices or income
  • prices of related goods (substitutes and complements)
  • population size and demographics
• 📈 Visualizing Demand: When the data from a demand schedule is plotted on a graph with price on the y-axis and quantity on the x-axis, it forms a demand curve.

🧠 Practice Quiz

Choose the best answer for each question.

1. Which of the following best describes a demand schedule?

   A. A graph showing the relationship between supply and demand.
   B. A table illustrating the quantity demanded at various prices.
   C. A list of factors that shift the demand curve.
   D. A mathematical formula for calculating total revenue.

2. According to the Law of Demand, if the price of a concert ticket increases, what is most likely to happen to the quantity demanded?

   A. It will increase.
   B. It will decrease.
   C. It will remain unchanged.
   D. It will shift the demand curve to the right.

3. All else being equal, if consumers expect the price of smartphones to significantly drop next month, what will happen to the current demand for smartphones?

   A. The quantity demanded will increase.
   B. The quantity demanded will decrease.
   C. The demand curve will shift to the right.
   D. The demand curve will shift to the left.

4. Which of these is NOT a determinant of demand (a factor that shifts the demand curve)?

   A. Consumer income.
   B. The cost of production.
   C. The price of substitute goods.
   D. Consumer tastes and preferences.

5. Consider a demand schedule for coffee. If the price of tea (a substitute) decreases, what would be the likely impact on the demand schedule for coffee?

   A. The quantity demanded for coffee at each price would increase.
   B. The quantity demanded for coffee at each price would decrease.
   C. The demand schedule for coffee would shift to the right.
   D. The demand schedule for coffee would shift to the left.

6. A local bakery creates a demand schedule for its popular croissants. At $2.00 per croissant, they sell 150 daily. If they lower the price to $1.50, what would the Law of Demand predict about the quantity sold?

   A. It would stay at 150.
   B. It would increase to more than 150.
   C. It would decrease to less than 150.
   D. It is impossible to predict without more information.

7. When plotting a demand schedule on a graph, which axis typically represents the quantity demanded?

   A. The x-axis (horizontal axis).
   B. The y-axis (vertical axis).
   C. Both the x and y axes.
   D. Neither axis, as it's a table, not a graph.