CONSUMER.PPT
... consumption resulting from a change in the price of one good relative to the price of other goods. • Income effect: The change in consumption resulting from an increase in a consumer’s real income. • Real income: Consumer’s income measured in terms of the goods it can buy. ...
... consumption resulting from a change in the price of one good relative to the price of other goods. • Income effect: The change in consumption resulting from an increase in a consumer’s real income. • Real income: Consumer’s income measured in terms of the goods it can buy. ...
simple electronic notes template
... The number and closeness of potential substitutes: (important determinant) The more substitutes, the more elastic will be the demand for a product. Also, the closer the substitutes available, the more elastic will be the demand. E.g. brands of household products, types of meat, and types of fruit, ...
... The number and closeness of potential substitutes: (important determinant) The more substitutes, the more elastic will be the demand for a product. Also, the closer the substitutes available, the more elastic will be the demand. E.g. brands of household products, types of meat, and types of fruit, ...
Elasticity of Demand - Flushing Community Schools
... causes a change in the quantity demanded. • Demand is elastic when a change in price causes a relatively larger change in quantity demanded. • Demand is inelastic when a change in price causes a relatively smaller change in quantity demanded. • Demand is unit elastic when a change in price causes a ...
... causes a change in the quantity demanded. • Demand is elastic when a change in price causes a relatively larger change in quantity demanded. • Demand is inelastic when a change in price causes a relatively smaller change in quantity demanded. • Demand is unit elastic when a change in price causes a ...
MICRO SYL S011
... SYLLABUS FOR MICROECONOMICS 2302 HCCS SOUTHWEST COLLEGE SPRING 2011 INSTRUCTOR: R. B. WAGNER B.S. MACALESTER COLLEGE M.B.A. INDIANA UNIVERSITY E-MAIL : [email protected] ...
... SYLLABUS FOR MICROECONOMICS 2302 HCCS SOUTHWEST COLLEGE SPRING 2011 INSTRUCTOR: R. B. WAGNER B.S. MACALESTER COLLEGE M.B.A. INDIANA UNIVERSITY E-MAIL : [email protected] ...
In a monopolistic market, there is only one firm in the market and the
... each firm must constantly determine how they will respond to price changes by the rival soft drink maker. To show how the previously discussed fundamentals could work in a real-world setting, assume that you are manager at Coca-Cola and have heard that Pepsi recently received damaging news from a su ...
... each firm must constantly determine how they will respond to price changes by the rival soft drink maker. To show how the previously discussed fundamentals could work in a real-world setting, assume that you are manager at Coca-Cola and have heard that Pepsi recently received damaging news from a su ...
competitive market
... • Attributes of Monopolistic Competition • Markets that have some features of competition and some features of monopoly. • Many sellers • Product differentiation • Free entry and exit ...
... • Attributes of Monopolistic Competition • Markets that have some features of competition and some features of monopoly. • Many sellers • Product differentiation • Free entry and exit ...
Chapter 8.4
... Makes a decision based on the reaction of other firms in the industry. The changes, in price or output by one firm can have a direct effect on another firm. Eg: if General Motor increase it price, the cars will be more expensive than Ford’s. The consumer will choose Ford’s cars and this will m ...
... Makes a decision based on the reaction of other firms in the industry. The changes, in price or output by one firm can have a direct effect on another firm. Eg: if General Motor increase it price, the cars will be more expensive than Ford’s. The consumer will choose Ford’s cars and this will m ...
1 SUN #1 – Economics Student Contact #1 : Student Contact #1
... listed in a table, illustrated with a graph, or even stated algebraically to help analyze behavior and predict outcomes. Thus all models are in theory because they are based on assumption rather than reality, however those assumptions can be correct. B. Market Equilibrium – A situation in which pric ...
... listed in a table, illustrated with a graph, or even stated algebraically to help analyze behavior and predict outcomes. Thus all models are in theory because they are based on assumption rather than reality, however those assumptions can be correct. B. Market Equilibrium – A situation in which pric ...
Chapter 2 Supply AND DEMAND Boiling Down Chapter 2
... One of the most significant factors that appears on both lists is the price of the product being considered. This makes it convenient to relate on the same graph the amount demanded and supplied. The relationship of price and consumer’s quantity demanded is inverse, as shown in Figure 2-1, while sup ...
... One of the most significant factors that appears on both lists is the price of the product being considered. This makes it convenient to relate on the same graph the amount demanded and supplied. The relationship of price and consumer’s quantity demanded is inverse, as shown in Figure 2-1, while sup ...
CFO11e_econ_ch03_GE
... 1. If you were to construct a demand curve for a required text in a course, where would that demand curve intersect the horizontal axis? 2. And this much harder question: In the year before a new edition of a text is published, many college bookstores will not buy the older edition. Given this fact, ...
... 1. If you were to construct a demand curve for a required text in a course, where would that demand curve intersect the horizontal axis? 2. And this much harder question: In the year before a new edition of a text is published, many college bookstores will not buy the older edition. Given this fact, ...
Lecture 1 - Sumon Bhaumik
... One last thing we noted is that the short run supply curve of the firm is the part of the marginal cost curve that lies above the shut down point. WHY? To ensure that you have the incentive to come to the lectures, and to discuss your problems with respect to BS2243 with me in person, during my offi ...
... One last thing we noted is that the short run supply curve of the firm is the part of the marginal cost curve that lies above the shut down point. WHY? To ensure that you have the incentive to come to the lectures, and to discuss your problems with respect to BS2243 with me in person, during my offi ...
ECON 3070-003 Intermediate Microeconomic Theory
... the Norlin Library. The problem sets are an integral part of the course. They are designed to help you use the material, and a significant part of the exam will be based on them. Grading: there are two experiments, two midterms and a final exam. The grade of the student will be determined as: 10% ex ...
... the Norlin Library. The problem sets are an integral part of the course. They are designed to help you use the material, and a significant part of the exam will be based on them. Grading: there are two experiments, two midterms and a final exam. The grade of the student will be determined as: 10% ex ...
Supply and demand
In microeconomics, supply and demand is an economic model of price determination in a market. It concludes that in a competitive market, the unit price for a particular good, or other traded item such as labor or liquid financial assets, will vary until it settles at a point where the quantity demanded (at the current price) will equal the quantity supplied (at the current price), resulting in an economic equilibrium for price and quantity transacted.The four basic laws of supply and demand are: If demand increases (demand curve shifts to the right) and supply remains unchanged, a shortage occurs, leading to a higher equilibrium price. If demand decreases (demand curve shifts to the left) and supply remains unchanged, a surplus occurs, leading to a lower equilibrium price. If demand remains unchanged and supply increases (supply curve shifts to the right), a surplus occurs, leading to a lower equilibrium price. If demand remains unchanged and supply decreases (supply curve shifts to the left), a shortage occurs, leading to a higher equilibrium price.↑