Supply – Demand Simulation

In pairs create six supply – demand questions of which three must be demand questions and three must be supply questions. Groups must use six different external factors that cause a shift in supply and demand from the list below. There must be no repeat causes within your six questions.

Demand Factors                                         Supply Factors

1. # of buyers                                               1. # of producers

2. income effect (normal / inferior)                      2. resources prices

3. substitute products prices                                   3. prices of related products

4. complementary products prices                        4. change in nature

5. consumer tastes/preferences                             5. state of technology

6. consumer expectations                               6. producer expectations

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