Chapter 4. the Nature of Demand

1. Give illustrations of the difference between desire and demand.

2. Do people actually expend their incomes so as to get the maximum utility judged by a standard they would admit to be morally sound?

3. What causes a demand for an additional supply of food? Of books?

4. If you never eat corn-bread, will the failure of the corn-crop affect your grocery bill?

5. Give examples you have seen of a higher price of one thing causing an increasing use of another.

6. Do you buy what you most desire?

7. Give examples of cases where supply is fixed, and demand varies.

8. Give examples of demand shifting from one product to another.

NOTE.--For a more detailed discussion see works cited: Smart, 18-33; Böhm-Bawerk, 159-169; Wieser, 16-36.