Define the demand schedule, Managerial Economics

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Demand Schedule

The law of demand can be explained through a demand schedule. A demand schedule is a series of quantities that consumers would like to buy per unit of time at different prices. To explain the law of demand, an imaginary demand schedule for tea is given in Table below. It demonstrates seven alternative prices and corresponding quantities (number of cups of tea) demand per day. Every price has a unique quantity demanded, associated with it. As the price per cup of tea decreases, daily demand for tea increases, in accordance with law of demand.

Price per Cup of Tea (Rs.)

No. of Cups of Tea Demand

per Consumer per Day

Symbols representing per

Price-Quantity Combination

8

2

A

7

3

B

6

4

C

5

5

D

4

6

E

3

7

F

2

8

G

 

 


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