PED Activity

Draw the D curve on a graph paper for the following:

P= 8 QD=2

P= 6 QD=4

P=4 QD= 6

P=2 QD= 8

Calculate the following PED values

when P falls from 8-6

When P falls from 6-4

When P falls from 4-2

and then check with this

What does it tell you about elasticity and a straight line demand curve. Can you tell PED from looking at a D curve?

And for those who really want to push themselves try this very demanding data response on PED....

Quantitative Questions on Supply, Demand and Elasticities

Note for Q5 a and B you need the following information:

The price of meat increases by 10%, the quantity demanded of meat falls by 12% and the quantity of fish consumed increases by 9%. Answer parts (a) and (b) on the basis of this information.

Task: Find a media article which looks at price change, and using supply and demand (and elasticity) theories explain the article. Here is an example of a suitable article

and here is some theory I would use to explain the article