Demand Curve

Demand Curve

Market Parameters

Steepness (Slope) -2.5

Intercept (Max Price) 30.0

Price Levels

Point 1 (Red)

Price (P1): Qty (Q1):

Point 2 (Blue)

Price (P2): Qty (Q2):

Check Your Understanding

1. Law of Demand: If you increase the Price (P1 or P2) in the panel above, what happens to the Quantity demanded (Q)?

2. Slope Sensitivity: If you move the "Steepness" slider to the right (making the slope more negative), how does the Quantity respond to a change in Price?

3. Market Entry: What does the "Intercept (Max P)" slider represent in a real-world context?