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MicroEconomics 1e by slavin

MicroEconomics 5e by besanko braeutigam chapter 01

MicroEconomics 5e by besanko braeutigam chapter 01

... Chapter One Overview 1 Defining DefiningMicroeconomics Microeconomics 2 Who WhoShould ShouldStudy StudyMicroeconomics? Microeconomics? 4 The TheTypes TypesofofMicroeconomic ... Example: C Chapter One 12 Copyright (c) 2014 John Wiley & Sons, Inc PFF + PCC = I The Constraint Optimization Example – Consumer Purchases F Example: 1/2 (FC) = S0 C Chapter One 13 Copyright (c) 2014 ... the last unit of the exogenous Chapter One 16 Copyright (c) 2014 John Wiley & Sons, Inc variable on the endogenous variable Equilibrium Chapter One 17 Copyright (c) 2014 John Wiley & Sons, Inc Example...
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MicroEconomics 5e by besanko braeutigam chapter 02

MicroEconomics 5e by besanko braeutigam chapter 02

... slope of supply by a shift in demand We can “identify” the slope of demand by a shift in supply This technique only works if one or the other of the curves stays constant Chapter Two Chapter Two ... prices Chapter Two Supply Curve for Wheat Chapter Two The Law of Supply Defined: The Law of Supply states that the quantity of a good offered increases when the price of this good increases Chapter ... Strategy (Summer, 1992) 278-311 Chapter Two Estimating Demand & Supply Estimating Elasticity Chapter Two Estimating Demand & Supply Example: U.S Boilers 1990 Chapter Two Estimating Demand & Supply...
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MicroEconomics 5e by besanko braeutigam chapter 03

MicroEconomics 5e by besanko braeutigam chapter 03

... utility Chapter Three 29 Marginal Rate of Substitution The Marginal Rate of Substitution 2 Example: U = Ax +By ; MU =2Ax; MU = 2By x y (where: A and B positive) = MU /MU x y = 2Ax/ 2By = Ax /By Copyright ... indifferent And thus a contradiction And thus a contradiction Chapter Three 21 Copyright (c)2014 John Wiley & Sons, Inc to C by transitivity to C by transitivity Indifference Curves Example U = xy Check ... ononly onlyone oneindifference indifferencecurve curve Chapter Three 19 Indifference Curves Copyright (c)2014 John Wiley & Sons, Inc Monotonicity Chapter Three 20 Indifference Curves Cannot Cross...
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MicroEconomics 5e by besanko braeutigam chapter 04

MicroEconomics 5e by besanko braeutigam chapter 04

... the commodity being considered Chapter Four Some Concepts Chapter Four Some Concepts Chapter Four Some Concepts Chapter Four Some Concepts Chapter Four Some Concepts Chapter Four Duality The mirror ... in the marketplace.” Chapter Four Interior Consumer Optimum Y • B Preference Direction • •C Optimal Choice (interior solution) IC BL Chapter Four X Interior Consumer Optimum Chapter Four Interior ... Line 1: 20X + 40Y = 800 Or Y = 20 – X/2 Slope of Budget Line = -Px/Py = -1/2 Chapter Four A Budget Constraint Example Chapter Four Consumer Choice Assume:  Only non-negative quantities  "Rational”...
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MicroEconomics 5e by besanko braeutigam chapter 05

MicroEconomics 5e by besanko braeutigam chapter 05

... words, words, market market demand demand isis obtained obtained by by adding adding the the quantities quantities demanded demandedby bythe theindividuals individuals(or (orsegments) segments)atateach ... Chapter Five Copyright (c)2014 John Wiley & Sons, Inc as aspoints pointson onaashifting shiftingdemand demandcurve curve 11 Copyright (c)2014 John Wiley & Sons, Inc Income Consumption Curve Chapter ... John Wiley & Sons, Inc Curve is positive Chapter Five 13 Engel Curves I ($) Engel Curve “X “Xisisaanormal normalgood” good” 92 40 10 18 X (units) 24 Chapter Five 14 Copyright (c)2014 John Wiley...
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MicroEconomics 5e by besanko braeutigam chapter 06

MicroEconomics 5e by besanko braeutigam chapter 06

... L, K ) Chapter Six The Production Function & Technical Efficiency Chapter Six Labor Requirements Function • Labor requirements function L = g (Q) Example: L=Q for production function Q= L Chapter ... single input increases Chapter Six Total, Average, and Marginal Products L 12 18 24 30 Q 30 96 162 192 150 APL Chapter Six MPL 11 11 -7 Total, Average, and Marginal Products Chapter Six Total, Average, ... quantity of output And… Chapter Six Isoquants Chapter Six Isoquants K All combinations of (L,K) along the isoquant produce 20 units of output Example: Q = 20 Slope=∆K/∆L Q = 10 L Chapter Six Marginal...
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MicroEconomics 5e by besanko braeutigam chapter 07

MicroEconomics 5e by besanko braeutigam chapter 07

... Wiley & Sons, Inc for forthe thefirm firm Chapter Seven Isocost Line w = $10/hour r = $20/hour TC = $1 million Or more generally: TC K= r − (w / r ) L Chapter Seven 10 Copyright (c)2014 John Wiley ... w r Chapter Seven 15 Long-Run Cost Minimization MPL w > MPK r • At point E • This implies the firm could spend an additional MPL MPK (or ) > w r dollar on labor and save more than a dollar by ... constant Chapter Seven 16 Long-Run Cost Minimization MPL w < MPK r • At point F • This implies the firm could spend an additional MPL MPK (or ) < w r dollar on capital and save more than a dollar by...
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MicroEconomics 5e by besanko braeutigam chapter 08

MicroEconomics 5e by besanko braeutigam chapter 08

... varies and w and r are fixed? Chapter Eight Long Run Total Cost Curve An Example Chapter Eight Long Run Total Cost Curve Chapter Eight Long Run Total Cost Curve Chapter Eight Long Run Total Cost ... TC(Q) = 2Q Chapter Eight A Total Cost Curve TC(Q) = 2Q TC ($ per year) $4M Q (units per year) Chapter Eight A Total Cost Curve TC(Q) = 2Q TC ($ per year) $2M Q (units per year) M Chapter Eight ... in Input Prices K TC0/r L Chapter Eight A Change in Input Prices K TC1/r TC0/r -w1/r -w0/r Chapter Eight L A Change in Input Prices K TC1/r TC0/r B • A • -w1/r -w0/r Chapter Eight L A Change in...
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