A producer of sparkling water records the quantity consumers would buy each week at two prices, before and after it runs an advertising campaign.
| Price per bottle | Quantity before the campaign (bottles a week) | Quantity after the campaign (bottles a week) |
|---|---|---|
| £1.50 | 800 | 1,040 |
| £2.00 | 500 | 680 |
Explain what the data indicate about demand for sparkling water after the campaign.
Explain one likely effect of this change in demand on the producer.
82 exam-style questions on OCR GCSE Economics 2.2 Demand, covering 2.2.1 What is demand, 2.2.2 Draw a demand curve using data, 2.2.3 Explain a demand curve, 2.2.4 Shifts and movements of the demand curve, 2.2.5 Causes and consequences of demand changes, 2.2.6 Price elasticity of demand, 2.2.7 Draw demand curves of different elasticity, and 2.2.8 Importance of price elasticity of demand. Each one has a worked solution and a mark scheme showing where the marks go.