My understanding of the upward sloping demand curve is that consumers may
be willing to buy more of a product if the price is higher because the
higher price may signal better quality.
This seems to imply that two factors are changing. I always thought that
along a demand curve just one factor was changing, the price. If two
factors are changing at the same time, what is it that we are talking
about? Is it still the demand curve?
What about attributes of the product? Isn't that what we really demand?
If you pay more for quality, maybe you are not actually paying more per
quality unit, like CPU second or sweetness of the orange.
Cyril Morong
San Antonio College
