macro_lecture09-06 - income(jobs 4 Taste/preferences ii...

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Supply-Demand (Ref. Chapter 4) 1. Introduction a. Role of incentives i. Supply Side ii. Demand Side 2. Demand a. Law of Demand i. Inverse relationship between changes in price (p) and changes in quantity demand (QD) ii. Price goes up quantity demand goes down b. Changes in Demand i. Due to various non-price factors 1. no. buyers 2. expectations 3.
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Unformatted text preview: income (jobs) 4. Taste/preferences ii. Price of Related Goods 1. E.g if price of house goes up demand for apartments go up 2. E.g if price of gasoline goes up demand for large vehicles goes down 3. Supply a. Changes in supply 4. Equilibrium, Shortage, and Surplus 5. Application 6. Elasticity...
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This note was uploaded on 04/24/2008 for the course ECON Intro-micr taught by Professor Alexander during the Spring '08 term at University of Houston.

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