Practice Problems
Problem 1.1:
Nathan and Joe are shopping for video games. Nathan's demand
function for video games is Q = 30 - 3P, and Joe's demand function
is Q = 48 - 4P. What will their combined demand be if the price is
$5? $11?
[Solution]
Problem 1.2:
Michelle is shopping for shirts. She chooses one, then notices that
the shirts are on sale, and gets another two shirts. How can you
explain this with a graph?
[Solution]
Problem 1.3:
Jenn's parents increase her allowance, so she spends more money on
candy every week. How can you explain this with a graph?
[Solution]
Problem 1.4:
Kris and Tim's demand curves for playing cards look like this:
Tim and Kris's Demand curves for Playing Cards
Who wants more when the price is $3 a pack? $4 a pack? What is
their combined demand at $4 a pack?
[Solution]
Problem 1.5:
Emily decides to set aside $200 from her paycheck every month. How
will this affect her demand curve? (You don't have to use specific
numbers, just explain)
[Solution]
