Chapter 24 - PRICE-SEARCHER MARKETS WITH HIGH ENTRY BARRIERS
So far we have assumed that price-taker and price-searcher markets are competitive, due to low barriers
to entry (and exit). We now look at industries where the barriers to entry/exit are high.
Chapter 23 - COMPETITIVE PRICE-SEARCHER MARKETS WITH LOW ENTRY BARRIERS
Firms who are Price-takers just take the market price - there is no pricing decision, no advertising, no
marketing, etc. They can adjust their output (expand/contract) and they can tr
CHAPTER 22 - PRICE TAKERS AND THE COMPETITIVE PROCESS
Last chapter looked at production costs. In next two chapters, we look at the interaction of prices,
profits and production for two groups of firms:
PRICE TAKERS - Firms that must take/accept the marke
CHAPTER 21 - COSTS AND THE SUPPLY OF GOODS
What do economists mean by costs, and why are costs so important to firms and managers? How do
costs influence a firms production decisions? Those questions are discussed in this chapter.
ORGANIZATION OF THE BUSI
Chapter 20 - Consumer Choice and Elasticity
Opening quotes and questions page 418.
MICRO SECTION: Price Theory. "Microeconomics focuses on the choices of consumers, the
operation of firms, and the earnings of resource suppliers."
We start the micro materi
Chapter 15 - STABILIZATION, OUTPUT AND EMPLOYMENT
See opening quote by Robert. Gordon, p. 327.
We now consider the debate in macroeconomics about whether macro policy (monetary and fiscal) can
be used to effectively stabilize the economic fluctuations of
Chapter 14: Modern Macroeconomics and Monetary Policy
Prior to the 1970s, most economists thought fiscal policy was far more important than monetary policy.
See opening quote, page 302. Now the consensus is that monetary policy is more important than fisc
Chapter 13 - MONEY AND THE BANKING SYSTEM
See opening quote, page 262, by Milton Friedman.
We will now switch from fiscal policy to monetary policy in the next two chapters. We first look at
Money and the Banking System and then focus on monetary policy i
Chapter 12 - Fiscal Policy: Incentives and Secondary Effects
We now look at Fiscal Policy. We assume that the money supply (MS) is fixed, monetary policy is held
constant so we can isolate and focus on fiscal policy only.
Fiscal policy = Tax policy (T) an
Chapter 10 ECONOMIC INSTABILITY
In Ch. 9, we focused on static, equilibrium conditions in the Aggregate Demand (AD) / Aggregate
Supply (AS) model. We now look at dynamic changes in the macro model - e.g. acts of nature like
droughts or earthquakes, import
Chapter 9 - Introduction to Basic Macroeconomic Markets
Quote p. 189 - "Macro. Those essentials lie in the interactions among the goods, labor and asset
markets of the economy."
Four main markets in the economy: 1) market for final goods and services, 2)
Chapter 7 - Taking the Nation's Economic Pulse
In this chapter we look at how the economy's output is measured. We use the National Income and
Products Accounts (NIPA), a system of national-income accounting developed during the 1920s and
1930s to measure
CHAPTER 4 - SUPPLY AND DEMAND: APPLICATIONS AND EXTENSIONS
(Note: Skip pages 83-84 and page 93-102)
ECONOMICS OF PRICE CONTROLS: REPEALING THE LAWS OF S AND D (p. 85)
When prices are unregulated, market forces (S and D) will exert strong and relentless pr
CHAPTER 3 - SUPPLY, DEMAND AND THE MARKET PROCESS
Given the first two principles of economics (We live in a universe of scarcity and We have unlimited
desires), we have to make choices about how to allocate scarce resources. Resources can be allocated
CHAPTER 2 - SOME TOOLS OF THE ECONOMIST
See opening quote, Friedman, page 27.
Choice involves the loss of foregone alternatives. OPPORTUNITY COST is the highest valued
alternative that must be sacrificed when one chooses. (Choosing between A and B, if you