MANAGERIAL ECONOMICS

BBALLB – I SEM
Dr. Shishma Kushwaha
Assistant Professor

JIMS Engineering Management & Technology,

48/4, Knowledge Park – 3,
Greater Noida (UP)
OBJECTIVE OF THE SESSION

▰ MEANING OF DEMAND
▰ DETERMINANTS OF DEMAND
▰ DEMAND FUNCTION
▰ INDIVIDUAL DEMAND
WHAT IS DEMAND?

▰ When a person is ready to purchase the

quantity of a product at a given price.
▰ Conditions to be satisfied for demand:
▻ Need/ Want/ Desire of the product
▻ Willingness/ readiness to pay
▻ Sufficient purchasing power
DETERMINANTS OF DEMAND

▰ Price of the commodity

▰ Income of the consumer
▰ Price of related goods
▰ Tastes and preferences
▰ Advertisement
▰ Expectations
DEMAND FUNCTION

▰ Mathematical expression of the relationship

between quantity demanded and its determinants
is known as demand function.
▰ D = f(P, Pr, Y, T, E…..)
INDIVIDUAL DEMAND

▰ It is the demand by an individual/ household

for the product.
Individual demand schedule

▰ When we put the quantity demanded by an individual or

household at different prices in a tabular form, is known
as individual demand schedule.
PRICE QTY DEMANDED (A) QTY DEMANDED (B)
10 8 4

9 9 5

8 11 6

7 15 9
INDIVIDUAL DEMAND CURVE

16

14

12

10

8 QTY DEMANDED (A)

QTY DEMANDED (B)

0
6.5 7 7.5 8 8.5 9 9.5 10 10.5
 THANK YOU
FOR FURTHER QUERIES,
PLEASE CONTACT
shishma.gn@jagannath.org