Exploring Demand

 2. A profit-maximizing professor asks her class the maximum they would pay for an A. These are the numbers she gets: $100, $50, $75, $0, $200, $0, $500, $50, $50, $10, $25, $75, $50. Fill in the table below to show what the demand curve for an A looks like in this class.










3. Discussing the tuition and fees of a college, one of the financial administrators was worried that the institution was close to the "tipping point" in the cost-benefit calculations students and parents made when choosing a college. If there is a "tipping point" for tuition and fees, what does the demand curve for this college look like? Would an economist draw the demand curve this way? Why or why not?

Review Question back Next