## Wednesday, August 24 - Thursday, August 25, 2011

Substitutes Everywhere: The Concept of Demand

OBJECTIVE

Students shall be able to

explain why the idea of a "need" is misleading,

explain the law of demand,

evaluate alleged exceptions to the law of demand,

distinguish between changes in demand and quantity demanded,

create a demand curve from a demand schedule,

graphically show changes in demand,

identify both money and non-money costs,

define price elasticity of demand,

recognize graphical differences in elasticity,

identify demand elasticity using changes in total receipts, and

explain why there's no such thing as perfectly inelastic demand.

ACTIVITIES

Lecture: calculating elasticity coefficients.

Independent practice: students shall calculate some elasticity coefficients.

Students shall complete the "Getting Familiar with Demand" activity.

Students shall work in groups to answer assigned discussion questions from chapter two in Heyne.

Assignments:

Participate in the discussion.

Calculate assigned elasticity coefficients.

Complete the "Getting Familiar with Demand" activity.

Answer the assigned Heyne chapter two discussion questions.

ASSESSMENT PROCEDURES

Grade class discussion. Monitor and adjust as necessary.