1 / 15

The average family income in Huntley goes down 20% this year.

The average family income in Huntley goes down 20% this year. a) What happens to demand for concert tickets this year? b) What happens to demand for passes to Sting Ray Bay? c) What determinant of demand is impacted?.

theola
Download Presentation

The average family income in Huntley goes down 20% this year.

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. The average family income in Huntley goes down 20% this year. a) What happens to demand for concert tickets this year? b) What happens to demand for passes to Sting Ray Bay? c) What determinant of demand is impacted?

  2. The latest magazines say celebrities aren’t drinking soda anymore—they only drink pure vegetable juice. • What happens to demand for V8? • What happens to demand for Diet Coke? • What happens to demand for Dr Pepper? • What determinant of demand is impacted?

  3. Name three complementary products to spaghetti sauce. a) b) c)

  4. The University of Illinois decides to increase tuition by $2,000 • How would this impact students at Huntley High School? • How would this decision impact the University of Illinois?

  5. New research says shrimp feel pain when they are eaten. Musicians band together and record “We are the Shrimp” to protest the killing of shrimp. • What happens to demand for shrimp? • What determinate of demand is impacted? • What happens to demand for tuna? • What determinate of demand tells us tuna demand will be affected?

  6. A family’s income decreases, so instead of buying steak at the grocery store, they buy ground beef. • What is the normal good? • What is the inferior good? • Income goes up. What happens to demand for steak? • Income goes up. What happens to demand for ground meat?

  7. Name a product that used to be popular and now isn’t. • In your opinion, why is that product no longer popular? • What determinant of demand created the decline?

  8. The price of iPods decrease. • What happens to demand for I-Pods? • What happens to the demand for song downloads? • What happens to demand for portable CD players? • What determinate of demand tells us CD players are affected?

  9. The Chicago White Sox want to increase their attendance. They decide to cut ticket prices by 15% • How would this change the demand for White Sox tickets? • How would this change the demand for Chicago Cubs tickets? • What determinant of demand is impacted?

  10. List one complementary product for each product below • A Laptop Computer • Ice Skates • A Guitar • Soccer Ball • Nintendo Wii • Surfboard

  11. Name a normal good for each inferior good below • Canned vegetables • Kool-Aid • A Bus Pass • A Futon • Ramen Noodles

  12. Fill in the change of demand below • Price of Abercrombie & Fitch jeans goes up. Demand for jeans? • Price of Sephora Pure lip gloss goes down. Demand for lip gloss? • Price of Oakley sunglasses goes up. Demand for sunglasses?

  13. Due to the fact that thousands of cows died during a very cold winter, the price of hot dogs have increased by 25%. List 4 complementary products that would be negatively impacted by the increased price of hot dogs. a) b) c) d)

  14. The Uno is finally released for sale at the price of $5,500. List 4 substitute products that would be affected. a) b) c) d)

  15. In the mid 90s, McDonald’s decided to go into the pizza business. After a few months of declining sales and increasing overhead costs, McDonalds decided to terminate the product. • Take an educated guess. Why do you think the McPizza failed? • Which determinant of demand led to fall of the McPizza?

More Related