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Investigating supply and demand (City of Oakland)

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© Oxford University Press 2016 1
Oxford Big Ideas Humanities 7 Victorian Curriculum Teacher obook assess ISBN 9780190307363
Permission has been granted for this page to be photocopied within the purchasing institution only.
Student worksheet
17.4 Supply and demand
Pages 472–473
Investigating supply and demand
1 Look at the image below. What does it suggest about the relationship between supply and demand?
2 Read the following scenario and answer the accompanying questions.
Maureen, a dress maker, decided she would design and sew 1950s-style ‘rock ‘n’ roll’ skirts at the
local market. Each skirt cost her $50 in labour, materials and studio space and she sold them for
$60 per skirt. During the summer season, Maureen sold out of her 30 skirts, so she frantically
made more to cover herself for the following autumn. However, for the next six months, Maureen
only managed to sell four skirts.
© Oxford University Press 2016 2
Oxford Big Ideas Humanities 7 Victorian Curriculum Teacher obook assess ISBN 9780190307363
Permission has been granted for this page to be photocopied within the purchasing institution only.
a Why do you think the demand for Maureen’s skirts diminished?
b Maureen considers lowering the price of the skirts to $50 each, in order to entice new customers.
Would this be a good idea? Why/why not?
c At the next spring market, Maureen finds that she has a competitor – Nita – who is selling the
same type of skirt for $40. Nita seems to be selling out fast, while Maureen’s sales have stalled.
What should Maureen do?
3 Why do you think retailers have regular big sales?
4 What factors might affect farmers being able to produce their supply consistently?
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Completed 26 May 2021

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