公益广告知识分享.pptVIP

* Lecture 3 Reading: Chapter 4 and part of Chapter 5 Two ways of interpreting curves (see board) Starting at some price -- go horizontally Starting at some level -- go vertically Market equilibrium Excess demand Excess supply soon: slope, change in percentage, elasticity An example of Critical thinking What is wrong with discussion on pp.70-71? Two ways to reduce the quantity of smoking demanded (1) warning on pack; 公益廣告 shift D inward (2) tax – move along D upward Incorporating (加入) the supply curve individual supply curve and individual demand curve? Individual equilibrium? market supply curve and market demand curve market equilibrium (Qx*, Px*) 均衡交易量與價格 市場供給函數 market supply function, 以h表示 Qx := h(Px) 市場需求函數 market demand function, 以f表示 Qx := f(Px) Intersection (相交) of two curves on Qx-Px space example market demand curve Qx = a + bPx (略上標 d ) market supply curve Qx = c + dPx (略上標 s ) 如何對參數 a, b, c, and d 施以最小的限制，保證存在唯一且有意義之市場均衡？ Hint: 應確保 Qx* 與 Px* 為正; 注意曲線與兩軸之交點 (依序作圖 見黑板) solving; characterizing (see board) Meaning of (market) equilibrium (市場均衡的意義) Key: quantity demanded equals quantity supplied 由 a + bPx = c + dPx 解得 Px = (a - c)/(d - b) 0 (why?) 代入任一式，知　 Qx = a + b[(a - c)/(d - b)] = [(ad - ab) + (ab - bc)]/(d - b) = (ad - bc)/(d - b). [討論正負] Note: b 0 (to satisfy law of demand)　　 d 0 (to satisfy law of supply) d - b 0 for sure; c 0 (why?); a 0 (why?) [hence a - c 0] ad bc (to make px* and Qx* positive) Consumers’ surplus and producers’ surplus Also see the first few pages in Ch.7 Recall our “vertical view” Willingness to pay; willingness to produce (slide no.4) Graphical illustration (below) 課堂顯示 針對市場需求對商品分類 (also see Ch.4) recall slide no.3 Qd := F(P1, income, P2, health, status, religion,…) (-) (+) (-) (0)