} Demand Curve A demand curveis a urel shows, buyers are willing ‘raph of the demand schedule. The curve in Fig- lationship between the price of T-Shirts and the quantity to purchase. It slopes downward, from left to right. Figure1 Demand for T-Shirts Changes in Quantity Demanded Quantity demanded refers to the number of units of a good that in- dividuals are willing and able to buy at a particular price. Looking back at Figure 1, the horizontal axis which is labeled Quantity Demanded (Qa). Take note that q demanded is a number ~ such ai More specifically is the number of units of a good that individuals are willing and able to buy at a particular price during some time period. In Figur t-shirts; if the pri he price is Php200.00, then quantity demanded is 40 *hp100.00, then the quantity demanded is 50 tshirts, ‘Change in quantity demanded is the movement from one point to an- other point on the same demand curve caused by a change in the price of Changes in Demand ‘The demand curve reflects the relationship between price and quan- tity purchases of tshirts during the given period of time. But the the only thing that change that influence the buyer's When this occurs, demand changes — it increases oF Determinants of Demand |. Consumer Tastes and Preferences AA change in tastes and preferences in favor of a commodi mean that at each price, more will be demanded than previously. On the other hand, a change in tastes and preferences away from a commodity will mean that, at each price, less will be demanded than previously. Consumer's Income Individual’s income may change depending upon the economic situation. A change in income (increases or decreases), individual's demand fora particular good may rise or fall. For example, Daniel's income increase due to Salary Standardization Law, his demand for steak rises. For Daniel, steak is a normal good. For a normal good, demand increases as income: Increases, her demand for eating steak decreases, For Kathryn, steak is an inferior good. For an inferior good, demand decreases as income increases. . 3, Population Population growth affects quantity demanded in more or less the same way as increases in average‘ificomes. A larger population will increase demand and fewer population will decrease demand for a particular product. The demand for photocopying is greater during school days. 4, Prices Related Goods 2, Substitute Goods. When the price of a particular item increases, the consumer will shift in the demand for a substitute. Butter and margarine are close substitutes. If the price of butter goes up, people will tend to substitute ‘margarine for butter, and the demand for margarine will increase since the price of margarine is lower than the price of butter.