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Lecture Comments (4)

1 answer

Last reply by: Professor Jibin Park
Fri Sep 25, 2015 2:25 PM

Post by Hannah O'Neil on September 25, 2015

Hi! i have a question about a packet that i am working on and i just wanted to ask you what you believ the answer is. It's a chart that depicts what will happen to the demand for different products listed after an "event" described. you then fill in your answer for what variable of TOEISS is responsible for the change and if the demand curve is shifted either right/left. the event my classmates are debating on is "The price of eggs fall" and the product is "Bacon". we have agreed the TOEISS variable is "O" (other related goods-specifically complementary) but we are debating whether it causes a shift to the left or right in the demand curve.

1 answer

Last reply by: Professor Jibin Park
Sat Jun 6, 2015 12:25 PM

Post by Hao Chen Liu on June 6, 2015

Why does is the demand curve downward and why the supply curve is upward?

Supply & Demand

  • Most, if not all, items found in the private sector follow the laws of supply and demand.
  • The demand curve is a downward sloping line – as price goes up, quantity demanded goes down.
  • The supply curve is an upward sloping line – as price goes up, quantity supplied goes up.
  • A change in demand means that the entire demand curve has shifted (either right or left) because something other than price has changed.
  • A change in supply means that the entire supply curve has shifted (either right or left) because something other than price has changed.
  • A shortage occurs when the price is below the equilibrium price.
  • A surplus occurs when the price is above the equilibrium price.

Supply & Demand

Lecture Slides are screen-captured images of important points in the lecture. Students can download and print out these lecture slide images to do practice problems as well as take notes while watching the lecture.

  • Intro 0:00
  • Lesson Overview 0:09
  • Supply and Demand 1:34
    • Supply and Demand Model
    • Demand Curve
    • Supply Curve
    • Set of Factors
    • Equilibrium Price and Quantity
  • Demand Schedule and Demand Curve 3:09
    • Market Demand Schedule
    • Market Demand Curve
    • Example
  • Shifts of the Demand Curve 8:03
    • Changes in the Prices of Related Goods
    • Changes in Income
    • Changes in Tastes
    • Changes in Expectations
  • Increase in Demand (Rightward Shift) 17:25
  • Decrease in Demand (Leftward Shift) 18:37
  • Supply Schedule and Supply Curve 19:45
    • Market Supply Schedule
    • Market Supply Curve
    • Example
  • Shifts of the Supply Curve 23:38
    • Changes in Input Prices
    • Changes in Technology
    • Changes in Expectations
  • Increase in Supply (Rightward Shift) 26:56
  • Decrease in Supply (Leftward Shift) 28:10
  • Supply, Demand, and Equilibrium 29:02
    • Equilibrium Price
    • Equilibrium Quantity
    • Equilibrium
  • Surplus and Shortage 30:58
    • Surplus
    • Shortage
    • Example
  • Example 1 34:50
  • Example 2 36:05
  • Example 3 38:09
  • Example 4 41:53
  • Example 5 45:09