




版权说明:本文档由用户提供并上传,收益归属内容提供方,若内容存在侵权,请进行举报或认领
文档简介
1、CHAPTER 1 OUTLINE1.1The Themes of Microeconomics1.2What Is a Market?1.3Real versus Nominal Prices1.4Why Study Microeconomics?Preliminaries microeconomics Branch of economics that deals with the behavior of individual economic unitsconsumers, firms, workers, and investorsas well as the markets that t
2、hese units comprise. macroeconomics Branch of economics that deals with aggregate economic variables, such as the level and growth rate of national output, interest rates, unemployment, and inflation.THE THEMES OF MICROECONOMICS1.1Trade OffsConsumersWorkersFirmsConsumers have limited incomes, which
3、can be spent on a wide variety of goods and services, or saved for the future. Workers also face constraints and make trade-offs. First, people must decide whether and when to enter the workforce. Second, workers face trade-offs in their choice ofemployment. Finally, workers must sometimes decide ho
4、w many hours per week they wish to work, thereby trading off labor for leisure.Firms also face limits in terms of the kinds of products that they can produce, and the resources available to produce them.1.1Prices and MarketsMicroeconomics describes how prices are determined. In a centrally planned e
5、conomy, prices are set by the government. In a market economy, prices are determined by the interactions of consumers, workers, and firms. These interactions occur in marketscollections of buyers and sellers that together determine the price of a good.THE THEMES OF MICROECONOMICS1.1Theories and Mode
6、lsIn economics, explanation and prediction are based on theories. Theories are developed to explain observed phenomena in terms of a set of basic rules and assumptions.A model is a mathematical representation, based on economic theory, of a firm, a market, or some other entity.Positive versus Normat
7、ive Analysis positive analysis Analysis describing relationships of cause and effect. normative analysis Analysis examining questions of what ought to be.THE THEMES OF MICROECONOMICSWHAT IS A MARKET?1.2 market Collection of buyers and sellers that, through their actual or potential interactions, det
8、ermine the price of a product or set of products. market definition Determination of the buyers, sellers, and range of products that should be included in a particular market. arbitrage Practice of buying at a low price at one location and selling at a higher price in another.1.2Competitive versus N
9、oncompetitive MarketsMarket Price perfectly competitive market Market with many buyers and sellers, so that no single buyer or seller has a significant impact on price. market price Price prevailing in a competitive market.WHAT IS A MARKET?1.2Market DefinitionThe Extent of a Market extent of a marke
10、t Boundaries of a market, both geographical and in terms of range of products produced and sold within it.Market definition is important for two reasons:A company must understand who its actual and potential competitors are for the various products that it sells or might sell in the future.Market de
11、finition can be important for public policy decisions.WHAT IS A MARKET?1.2Markets are usually defined in terms of therapeutic classes of drugs.For example, there is a market for antiulcer drugs that is very clearly defined.Sometimes, however, pharmaceutical market boundaries are more ambiguous, like
12、 painkillers. There are many types of painkillers, and some work better than others for certain types of pain.WHAT IS A MARKET?1.2In 1990, the Archer-Daniels-Midland Company (ADM) acquired the Clinton Corn Processing Company (CCP).The U.S. Department of Justice (DOJ) challenged the acquisition on th
13、e grounds that it would lead to a dominant producer of corn syrup with the power to push prices above competitive levels.ADM fought the DOJ decision, and the case went to court. The basic issue was whether corn syrup represented a distinct market.ADM argued that sugar and corn syrup should be consid
14、ered part of the same market because they are used interchangeably to sweeten a vast array of food products.WHAT IS A MARKET?REAL VERSUS NOMINAL PRICES1.3 nominal price Absolute price of a good, unadjusted for inflation. real price Price of a good relative to an aggregate measure of prices; price ad
15、justed for inflation. Consumer Price Index Measure of the aggregate price level. Producer Price Index Measure of the aggregate price level for intermediate products and wholesale goods.Table 1.1 The Real Prices of Eggs and of a College Education197019751980198519901998Consumer Price Index38.853.882.
16、4107.6130.7163.0Nominal PricesGrade A large eggs$0.61$0.77$0.84$0.80$1.01$1.04College education253034034912815612,80019,213Real Prices ($1970)Grade A large eggs$0.61$0.56$0.40$0.29$0.30$0.25College education2530245423132941380045731.3The real price of eggs in 1970 dollars is calculated as follows:Wh
17、ile the nominal price of eggs rose during these years, the real price of eggs actually fell.REAL VERSUS NOMINAL PRICESTable 1.1 The Real Prices of Eggs and of a College Education197019751980198519901998Consumer Price Index38.853.882.4107.6130.7163.0Nominal PricesGrade A large eggs$0.61$0.77$0.84$0.8
18、0$1.01$1.04College education253034034912815612,80019,213Real Prices ($1980)Grade A large eggs$1.30$1.18$0.84$0.61$0.64$0.53Real versus Nominal Prices1.3The real price of eggs in 1980 dollars is calculated as follows:REAL VERSUS NOMINAL PRICES1.3The Minimum WageIn nominal terms, the minimum wage has
19、increased steadily over the past 70 years.However, in real terms its expected 2010 level is below that of the 1970s.Figure 1.1WHY STUDY MICROECONOMICS?1.4Corporate Decision Making: Fords Sport Utility VehiclesThe design and efficient production of Fords SUVs involved not only some impressive engineering, but a lot of economics as well.First, Ford had to think carefully about how the public would react to the design and performance of its new products.Next, Ford ha
温馨提示
- 1. 本站所有资源如无特殊说明,都需要本地电脑安装OFFICE2007和PDF阅读器。图纸软件为CAD,CAXA,PROE,UG,SolidWorks等.压缩文件请下载最新的WinRAR软件解压。
- 2. 本站的文档不包含任何第三方提供的附件图纸等,如果需要附件,请联系上传者。文件的所有权益归上传用户所有。
- 3. 本站RAR压缩包中若带图纸,网页内容里面会有图纸预览,若没有图纸预览就没有图纸。
- 4. 未经权益所有人同意不得将文件中的内容挪作商业或盈利用途。
- 5. 人人文库网仅提供信息存储空间,仅对用户上传内容的表现方式做保护处理,对用户上传分享的文档内容本身不做任何修改或编辑,并不能对任何下载内容负责。
- 6. 下载文件中如有侵权或不适当内容,请与我们联系,我们立即纠正。
- 7. 本站不保证下载资源的准确性、安全性和完整性, 同时也不承担用户因使用这些下载资源对自己和他人造成任何形式的伤害或损失。
最新文档
- 2023八年级生物下册 第七单元 生物圈中生命的延续和发展第三章 生命的起源和生物进化第1节 地球上生命的起源教学实录 (新版)新人教版
- 45周年结婚纪念日最暖心短句
- 40岁未婚男人的爱情观
- mqtt协议中的遗言
- 电梯特种设备生产许可证级别划分
- 电脑剪线器不归位最简单解决方法
- 塑造积极工作氛围的举措计划
- 幼儿园学期计划阳光下的快乐学堂
- 提前解除租赁合同履行时间(2025年版)
- 社会舆论监测与年度应对计划
- 第九套广播体操评分细则及评分表
- 审计资料交接清单
- 幼儿园教师个人专业成长档案
- 小学语文实用性学习任务群解读及教学建议
- 银行业金融机构监管数据标准化规范(2021版)检核规则
- 新员工EHS管理培训
- 清创缝合术课件
- 托森差速器的设计与仿真
- 江苏扬州市育才小学二年级数学下册期末复习卷(二)及答案
- 播音主持外部技巧:停连重音语气节奏课件讲义
- 小学语文一至六年级必背内容汇总
评论
0/150
提交评论