H04Shifts - 7 Comparative Statics comparative statics -...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
± excess demand at current price ± increase in demand ± demand shift gives movement along supply curve ± upward pressure on price Comparative Comparative Statics Statics ± comparative statics --- shifting demand and supply ± compare original and new equilibrium price and quantity D S Quantity Price (per unit) E 7 S Quantity Price (per unit) D E ± demand shift gives movement along supply curve ± downward pressure on price ± excess supply at current price Comparative Comparative Statics Statics ± comparative statics --- shifting demand and supply ± compare original and new equilibrium price and quantity ± decrease in demand 7 ± excess supply at current price ± increase in supply D S Quantity Price (per unit) E ± supply shift gives movement along demand curve ± downward pressure on price Comparative Comparative Statics Statics ± comparative statics --- shifting demand and supply ± compare original and new equilibrium price and quantity 8
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
D Quantity
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 4

H04Shifts - 7 Comparative Statics comparative statics -...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online