Wednesday, May 20, 2009

Supply and demand

Today we watched a short movie on brain pop called supply and demand. here is a wee graph to show that if the product is popular the demand (the blue line) will increase and the producer will have to increase the supply (the red line) The bottom black line is the quantity and the further along the coloured lines are the more of the items you nedd and the higher up the lines go is how expensive/in-expensive they are. If the product is to expensive the producer will lose money and stock beacause the shop owners will have to mark the prices down so that they sell more easily and that people would want to spend their money on that item or product. But then the products are flying off the shelves and everyone wants one of those things then the producer will have to make more which will cost more money then the price will go up for the consumers.
I think I got it pretty well done but sorry if I am wrong anf way off!!!!

He He be happy!!!
Lilrocsta : )

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Bluey!!!!!!! is very blue!!