Chapter 3, Problem 5P

To determine

Let’s assume that each person in the U.S consumes an average of 37 gallons of soft drinks (nondiet) at an average price of $2 per gallon and that the U.S population is 294 million. At a price of $1.50 per gallon, each individual consumer would demand 50 gallons of soft drink. From this information about the individual demand schedule, calculate the market demand schedule for soft drinks for the prices of $1.50 and $2 per gallon.

Concept Introduction:

Market demand: The market demand is the summation of all individual demand in the economy.

Market demand schedule: Market demand schedule is the tabulation of market demand..