Week 2: Demand and Supply in a
Competitive Market
Agenda for this week:
 Overview of the competitive market
model
 What is a market?
 What is competition?
 Demand
 Supply
 Equilibrium
 Shifts in Demand and Supply: how
they affect equilibrium
 Pric
Week 4 Elasticity, Tax Incidence and
Tax Burden
A key characteristic of demand and supply
curves! Elasticity
Elasticity = sensitivity or reponsiveness
Changes in one variable as another variable
changes
How sensitive is the quantity demanded to
changes in
Week 8 (Study Break was Week 7)
First midterm test Sat Oct 25 1 p.m.
Where? Look on Blackboard
This week: Perfect Competition
A type of market a market structure
When there is considerable competition
between a large number of producers who
can supply th
1
Welcome to MGEA02H Introduction to
Microeconomics: A Mathematical Approach
How can you reach me?
Prof. Gordon Cleveland
Office: IC282, Phone: 4162877317
Email: [email protected]
Office Hours: Mondays and Wednesdays
12 p.m. (or by appointme
Week #3 Demand and Utility
Explaining/Exploring Demand Curves
(Parts of Chapter 10 and Chapter 4 in
Krugman, 2nd Canadian edition)
Why are demand curves negatively sloped?
How do we interpret a point on the demand curve?
How do we interpret an area under
MGEA02
Week 5
Production, Productivity and Costs
Production, productivity and costs
Basic objective.understand diminishing
marginal productivity and how this
affects the shapes of typical cost
curves in short run.
Why? To understand the supply curve.
Deci
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
Lecture 10
CANADAS GEOLOGIC JOURNEY:
THE LAST 4 BILLION YEARS
Canadas geological history is a long journey
in 5 parts
(Read Chapter 20)
Main themes:
A. Continents grow through time
B. North American continent has grown in 5 stages:
1) Arctica (2.7 Ga)
2)
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
2 hour final multiple
choice exam
based on
chapter 20
and lectures 10, 11
ENVIRONMENTAL
SCIENTISTS
CANADA
WELCOME TO THE ANTHROPOCENE:
THE EPOCH OF MAN
Lecture 12: A WIDE RANGING REVIEW OF
ENVIRONMENTAL CHALLENGES
Urban sprawl
Managing/protecting water re
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
find more resources at oneclass.com
EESA06: Final Exam Notes (Chp. 16,20, Lec. 9)
Chapter 16: Glaciers, Glaciation, and Permafrost





Water stored as ice in glaciers came from the oceans
Episodes of glaciation ended about 10,000 years ago
Rock reco
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
Globalization is a trade
Various companies trading worldwide
Movement of capital products
Globalization leads to individualism
Job loss in developed countries
Under developed countries create more jobs
Jobs developed  jobs undeveloped
Movement towards
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
Nancy Zuo
Oct.13th 2015
ENG4U
Mr.luxenburg
Essay rough copy
Topic: Betrayal and Redemption: how it the theme of betrayal and redemption
important to the story arc in the novel? Make a list of instances in the novel where
someone is forgiven. What constitu
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
With the development of market economy, modern
corporations are confronted with more and more
drastic competitive environments. Because of
severe competition and market saturation, it is more
and more difficult for companies to acquire new
customers. Faci
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
Account Name
1 Property, Plant, Equipment
Cash
Long Term Debt
Common Shares
Bought Arena and financed it through shares, longterm debt, and cash
2 Cash
Accounts Receivable
Arena Revenue
Pro Shop and Restaurant Revenue
Amount of Revenue earned during the
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
Nancy Zuo
Oct.13th 2015
ENG4U
Mr.luxenburg
Essay rough copy
Topic: Betrayal and Redemption: how it the theme of betrayal and redemption
important to the story arc if the novel? Make a list of instances in the novel where
someone is forgiven. What constitu
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
Some people say children no longer need to develop handwriting skills. Others
believe that handwriting is still important. Discuss both these views and give your
own opinion.
Brainstorm:
Agree: heritage of culture; increase the awareness of roots
Disagree
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
Topic 7
FirsT midTerm TesT 
Monday, November 2"d aT 5 pm.
Where do I go? Look on Blackboard
WhaT's on The TesT?
This week: PerfecT CompeTiTion
A Type of markeT  a markeT sTrucTure"
When There is considerable compeTiTion
beTween a large number of produc
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
w
[:90 I3 
MGEAOZ  Topic 10
OLIGOPOLV H
W
Oligopoly is a markeT in which There are
only a few Sellers.
How many?
.50 few ThaT They feel The effecTs of
each oTher's decisions.The profits of
each firm will depend on The sTraTegy
followed by iTs compeTiTor
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
Administrative matters first:
0 Course Evaluations  Do them now, please!
a The Final Exam 
When?: Thursday, December 17th"'1 
2 pm.  5 pm.
Where?: in various locations (check the
Blackboard site in another week or So)
What format? 40 MC and 2 short an
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
Topic 4  Elasticity, Tax Incidence and What difference does elasticity (of demand)
0 Tax Burden make? Example.university education
A key characteristic of demand and supply
curves!  Elasticity
Elasticity = sensitivity or reponsiveness
Changes in one var
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
Topic 11 MGEAOZ
Externalities and Public Goods
An externality is created when an action (e.g.,
buying or selling a good) affects bystanders
as well as market participants.
(bystander = other member of society, not
participating in the purchase and sale th
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
/
F.
MGEAOZ
Topic 5
Production, Productivity and Costs
Production, productivity and costs
Basic objective.understand diminishing
marginal productivity and how this
affects the shapes of Typical cost
curves in short run.
Why? To understand the supply curve
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
MGEAOZ  Topic 8
Perfect Competition in the Long Run
This week: _
 What defines longrun equilibrium in a
perfectly competitive market?
What is different for the firm and the
industry in longrun equilibrium?
 Is perfect competition good for society
 d
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
Topic #3  Demand and Utility
7 Explaining/Exploring Demand Curves
(Parts of Chapter 10 and Chapter 4 in
Krugman, 2" Canadian edition)
Why are demand curves negatively sloped? (i.e.,
why do people buy less when price is high and
more when price is low?)
H
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
TUTORIALS
Your tutorials are scheduled on the same day each week (different days for diererzt
students). Tutorial questions are printed below. The first tutorials start Thursday,
September 10
*Vr*Dlkhk*rk*>c*Awht*W*t*r
1.
2.
3.
4.
[email protected]
at mama: m.
W4) : t
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
MGEA02H
First Term Test  October 25, 2014
Professors Gordon Cleveland and Jack Parkinson
Time: 90 minutes
Version A
Instructions: PLEASE READ CAREFULLY
1. On the Scantron answer sheet, you must
PRINT your last name and first name
enter your student num
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
ECMA04F
First Term Test  October 10, 2003
Profs. Michael Krashinsky and Gordon Cleveland
PRINT CLEARLY
NAME:
Time: 90 minutes
_ _
(Last name)
(First name)
STUDENT NUMBER:
_
TUTORIAL TIME:
_
(Write down the time and day of the tutorial you regularly atten
Introduction to Microeconomics: A Mathematical Approach
MGEA A02

Fall 2012
Room:
MGEA02 Introduction to Microeconomics: A Mathematical Approach
SAMPLE Midterm
Last name/Family name: _
First name: _
ID#: _
Date & Time: Study time
Instructor:
Aids Allowed: Nonprogrammable calculator
Time Allowed: 90 minutes
Total number of pages