Search our Repository

Order a high quality custom written paper

This revision paper should be used as a source of ideas / reasoning / inspiration for your own research. You should never submit it as your own work. Need something custom and original? Choose from a wide range of academic writing tasks and get the one you need.

Price $5

Pay with paypal

* Once your purchase is processed by paypal you will be redirected back to this page and you'll have the option to download the paper. We'll also send the paper to your paypal email address as proof of purchase.
Download Paper

Law Of Demand

Question

Write a report that explains the law of demand and the determinants of demand using the following example and set of scenarios:

A study found that lower airfares led some people to substitute flying for driving to their vacation destinations. This reduced the demand for car travel and led to reduced traffic fatalities, since air travel is safer per passenger mile than car travel. Using the logic suggested by that study, suggest how each of the following events would affect the number of highway fatalities in any one year as well as how each of the following would affect the demand curve for driving to vacation destinations.

  1. An increase in the price of gasoline
  2. A large reduction in rental rates for passenger vans
  3. An increase in airfares

Once you have considered the scenarios above, research another good or service that has a substitute. Imagine three different scenarios that could affect the demand curve for that good or service. Follow the same procedure as above, explaining how each scenario would affect the demand for the good or service.

Be sure to define demand and the determinants of demand in your response. Also address the question, how does a movement along the demand curve differ from a shift in the demand curve?

Solution

Title: Law Of Demand
Length: 2 pages (550 Words)
Style: APA

Preview

Demand Curves

Demand refers to the need for a certain commodity within a population. If the need is high, the n it can be stated that the demand for that particular good is high (Jackson, 2013). On the other hand, if less people buy the commodity, it can be said that the demand for that particular product is low.  There is a difference between a movement along the demand curve and a shift in the demand curve. Movement along the demand curve occurs when the people’s preference for a certain good has not changed (Jackson, 2013). If the price changes, the quantity of good bought will also change. Therefore, the demand will go up or down. On the other hand, shift in the demand curve occurs when people’s preference for a certain commodity changes. This means that the people will demand for different amounts of the goods at the same price. Additionally, the people may seek alternative goods to satisfy their needs, which were being satisfied by the previous product (Pride, 2010).

$5.00

Do you need an affordable high quality custom written paper?

Order a high quality custom written paper

With a team of proficient and enthusiastic writers, we are able to produce a compelling text on practically any topic.

Plagiarism Free

Excellent Quality

100% MONEYBACK