AQA, Aquinas, Economics, ECON1, Markets, Market Failure

1. ECON1
WWW.AQUINASECONOMICSAS.CO.UK
@AQUINASECONOMIC
The Demand Curve
Answer all the questions below
1. Explain what is meant by Demand
2. Explain the term ceteris paribus
3. Draw a demand curve using the following information
Price of Peanuts (£) Demand (millions per year)
100 9.5
200 7.5
300 5.0
400 3.5
500 1.0
4. On the graph show what would happen if incomes were to rise and people
purchased more peanuts at the same price (Increase demand by 1 million at
each price level)
5. A recession hits and incomes fall so people now demand less at each price
level. Using the original figures subtract 1 million from each price level and
redraw the graph.
6. Ensure all demand curve are labelled appropriately
7. What other goods are likely to affect the demand for car tyres
8. List the factors which can affect the demand for a product
9. Explain the term consumer surplus