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MID Year Graphs

MID Year Graphs . You should know and be able to draw, explain and label all parts. Basic S&D ideas. Price. Demand . Quantity . Basic S&D ideas. Price. Elastic Demand is more flat and Greater than 1 . Quantity . Basic S&D ideas. Price. Inelastic Demand is a steep

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MID Year Graphs

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  1. MID Year Graphs You should know and be able to draw, explain and label all parts.

  2. Basic S&D ideas Price Demand Quantity

  3. Basic S&D ideas Price Elastic Demand is more flat and Greater than 1 Quantity

  4. Basic S&D ideas Price Inelastic Demand is a steep Line = less than 1 Quantity

  5. Basic S&D ideas Price Perfectly Inelastic Demand Quantity

  6. Basic S&D ideas Price Perfectly elastic Demand Quantity

  7. Basic S&D ideas Price B Change in demand A Demand Quantity

  8. Basic S&D ideas Price Supply Quantity

  9. Basic S&D ideas Inelastic Supply is steep Price Quantity

  10. Basic S&D ideas Price Elastic Supply is flatter Quantity

  11. Basic S&D ideas Price Perfectly inelastic Supply Quantity

  12. Basic S&D ideas Price Perfectly elastic Supply Quantity

  13. Basic S&D ideas Price Supply Change in supply B A Quantity

  14. Basic S&D ideas Price S Equilibrium – market clearing point D Quantity

  15. Basic S&D ideas Price S Price Ceiling Equilibrium – market clearing point D Quantity

  16. Basic S&D ideas Price S Equilibrium – market clearing point Price Floor D Quantity

  17. Basic S&D ideas Price S Shift in demand - determinants E D2 D Quantity

  18. Basic S&D ideas Price Shift in supply - determinants S S2 E D Quantity

  19. Basic S&D ideas Double Shift: Shift in supply and demand Increase in income and lowering of costs of production Price S S2 E D2 D Quantity

  20. Surplus – Consumer and Supplier CS = above equilibrium price below the demand curve PS = below the equilibrium price and above the supply curve Price S TS = CS+PS CS PS Equilibrium – market clearing point D Quantity

  21. Changing CS and PS Price S D Quantity

  22. Changing CS and PS A recession cuts income Price S A B C D E2 D D2 Quantity

  23. Externality – Negative (-) Social Cost Price S2 • O – social cost of pollution • 3rd parties wishes S – Private Cost O E D – Private Value Quantity

  24. Positive externality (+) O= positive of education 3rd parties benefits Price S – Private Cost O = benefit to society D2- Social Value D Private Values Quantity

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