How to find the slope of a demand curve?
Understand the Problem
The question is asking for the method or formula to calculate the slope of a demand curve, which is a concept in economics. The slope typically represents how much quantity demanded changes with a change in price.
Answer
(P2 - P1)/(Q2 - Q1)
To find the slope of a demand curve, take two points on the curve (Q1, P1) and (Q2, P2). Calculate the slope using the formula: Slope = (P2 - P1) / (Q2 - Q1).
Answer for screen readers
To find the slope of a demand curve, take two points on the curve (Q1, P1) and (Q2, P2). Calculate the slope using the formula: Slope = (P2 - P1) / (Q2 - Q1).
More Information
The slope of a demand curve indicates how much the price of a good changes as the quantity demanded changes. Because the demand curve typically slopes downwards from left to right, the slope is usually negative.
Tips
A common mistake is to mix up the variables and divide the change in quantity by the change in price. Always divide the change in price by the change in quantity.
Sources
- Overview of the Demand Curve - thoughtco.com
- Finding the Slope of Linear Demand and Supply Curves - Wyzant - wyzant.com
- How do you find the slope of a demand curve? | Socratic - socratic.org
