1.1 Competitive markets: Demand and supply

Discuss the view that competitive markets will always achieve allocative efficiency.

Discuss the view that competitive markets will always achieve allocative efficiency.

Discuss the view that competitive markets will always achieve allocative efficiency.

Calculate the excess demand/excess supply (state which of these) at a price of $8.50.

Calculate the excess demand/excess supply (state which of these) at a price of $8.50.

Calculate the excess demand/excess supply (state which of these) at a price of $8.50.

Calculate the price at which excess demand of 18 widgets would result.

Calculate the price at which excess demand of 18 widgets would result.

Calculate the price at which excess demand of 18 widgets would result.

Calculate the equilibrium price and quantity per month.

Calculate the equilibrium price and quantity per month.

Calculate the equilibrium price and quantity per month.

Define the term social (community) surplus.

Define the term social (community) surplus.

Define the term social (community) surplus.

Calculate the social (community) surplus in the market for cotton in San Marcus.

Calculate the social (community) surplus in the market for cotton in San Marcus.

Calculate the social (community) surplus in the market for cotton in San Marcus.

Draw and label the new supply curve on Figure 1.

Draw and label the new supply curve on Figure 1.

Draw and label the new supply curve on Figure 1.

Calculate the change in producer surplus resulting from the increase in costs of production.

Calculate the change in producer surplus resulting from the increase in costs of production.

Calculate the change in producer surplus resulting from the increase in costs of production.

Draw and label a curve that illustrates Fairland’s minimum wage on Figure 6.

Draw and label a curve that illustrates Fairland’s minimum wage on Figure 6.

Draw and label a curve that illustrates Fairland’s minimum wage on Figure 6.

Define the term excess demand indicated in bold in the text (paragraph [3]).

Define the term excess demand indicated in bold in the text (paragraph [3]).

Define the term excess demand indicated in bold in the text (paragraph [3]).

Using your answer to part (c), outline the reason why an increase in costs of production has resulted in a new supply function.

Using your answer to part (c), outline the reason why an increase in costs of production has resulted in a new supply function.

Using your answer to part (c), outline the reason why an increase in costs of production has resulted in a new supply function.

Identify the slope of the supply curve.

Identify the slope of the supply curve.

Identify the slope of the supply curve.

Calculate the change in social (community) surplus as a result of the increase in demand for oranges.

Calculate the change in social (community) surplus as a result of the increase in demand for oranges.

Calculate the change in social (community) surplus as a result of the increase in demand for oranges.

Calculate the change in consumer surplus in Country Z as a result of the increase in demand for oranges.

Calculate the change in consumer surplus in Country Z as a result of the increase in demand for oranges.

Calculate the change in consumer surplus in Country Z as a result of the increase in demand for oranges.

Calculate the resulting unemployment among the low-wage workers.

Calculate the resulting unemployment among the low-wage workers.

Calculate the resulting unemployment among the low-wage workers.

Using Figure 1, calculate the consumer surplus in Nissos at the market equilibrium.

Using Figure 1, calculate the consumer surplus in Nissos at the market equilibrium.

Using Figure 1, calculate the consumer surplus in Nissos at the market equilibrium.

Plot and label the new supply curve on Figure 2.

Plot and label the new supply curve on Figure 2.

Plot and label the new supply curve on Figure 2.

Determine the slope of the market supply function for the corn farmers in Nissos.

Determine the slope of the market supply function for the corn farmers in Nissos.

Determine the slope of the market supply function for the corn farmers in Nissos.

Calculate the resulting change in producer surplus following the introduction of the subsidy to cotton producers in San Marcus.

Calculate the resulting change in producer surplus following the introduction of the subsidy to cotton producers in San Marcus.

Calculate the resulting change in producer surplus following the introduction of the subsidy to cotton producers in San Marcus.

Calculate the change in the consumer surplus resulting from the subsidy.

Calculate the change in the consumer surplus resulting from the subsidy.

Calculate the change in the consumer surplus resulting from the subsidy.

Examine the view that the best allocation of resources, from society’s point of view, occurs where the marginal private benefit equals the marginal private cost.

Examine the view that the best allocation of resources, from society’s point of view, occurs where the marginal private benefit equals the marginal private cost.

Examine the view that the best allocation of resources, from society’s point of view, occurs where the marginal private benefit equals the marginal private cost.

Calculate the monthly equilibrium quantity of corn in Nissos.

Calculate the monthly equilibrium quantity of corn in Nissos.

Calculate the monthly equilibrium quantity of corn in Nissos.

Assuming that 25 000 pencils are produced initially, identify the opportunity cost for Country H if the production of rice is to be increased by 100 %.

Assuming that 25 000 pencils are produced initially, identify the opportunity cost for Country H if the production of rice is to be increased by 100 %.

Assuming that 25 000 pencils are produced initially, identify the opportunity cost for Country H if the production of rice is to be increased by 100 %.