Beruflich Dokumente
Kultur Dokumente
Principles of
Macroeconomics, 9e
; ; By
Karl E. Case,
Ray C. Fair &
Sharon M. Oster
S dna dna me D
PpApHuC
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 1 of 22
S dna dna me D
PpApHuC
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 2 of 22
PART I INTRODUCTION TO ECONOMICS
Prepared by:
Fernando & Yvonn
Quijano
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster
PART I INTRODUCTION TO ECONOMICS
Surplus
Potential Causes of Deadweight
Loss from Under- and Overproduction
Looking Ahead
PpApHuC
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 4 of 22
The Price System: Rationing and Allocating Resources
Price Rationing
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 5 of 22
The Price System: Rationing and Allocating Resources
Price Rationing
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 6 of 22
The Price System: Rationing and Allocating Resources
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 7 of 22
The Price System: Rationing and Allocating Resources
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 8 of 22
The Price System: Rationing and Allocating Resources
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 9 of 22
The Price System: Rationing and Allocating Resources
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 10 of 22
The Price System: Rationing and Allocating Resources
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 11 of 22
The Price System: Rationing and Allocating Resources
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 12 of 22
The Price System: Rationing and Allocating Resources
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 13 of 22
The Price System: Rationing and Allocating Resources
Price Floors
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 14 of 22
Supply and Demand Analysis: An Oil Import Fee
FIGURE 4.5 The U.S. Market for Crude Oil, 1989
At a world price of $18, domestic If the government levies a 33 1/3 percent tax on
S dna dna me D
production is 7.7 million barrels per day imports, the price of a barrel of oil rises to $24. The
and the total quantity of oil demanded in quantity demanded falls to 12.2 million barrels per
the United States is 13.6 million barrels day. At the same time, the quantity supplied by
per day. The difference is total imports domestic producers increases to 9.0 million barrels
(5.9 million barrels per day). per day and the quantity imported falls to 3.2 million
barrels per day.
PpApHuC
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 15 of 22
Supply and Demand and Market Efficiency
Consumer Surplus
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 16 of 22
Supply and Demand and Market Efficiency
Consumer Surplus
As illustrated in Figure 4.6(a), some consumers (see point A) are willing to pay as much as $5.00
each for hamburgers. Since the market price is just $2.50, they receive a consumer surplus of
$2.50 for each hamburger that they consume. Others (see point B) are willing to pay something
less than $5.00 and receive a slightly smaller surplus.
Since the market price of hamburgers is just $2.50, the area of the shaded triangle in Figure
PpApHuC
Producer Surplus
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 18 of 22
Supply and Demand and Market Efficiency
Producer Surplus
As illustrated in Figure 4.7(a), some producers are willing to produce hamburgers for a price of
$0.75 each. Since they are paid $2.50, they earn a producer surplus equal to $1.75. Other
producers are willing to supply hamburgers at a price of $1.00; they receive a producer surplus
equal to $1.50.
Since the market price of hamburgers is $2.50, the area of the shaded triangle in Figure 4.7(b) is
PpApHuC
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 20 of 22
Supply and Demand and Market Efficiency
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 21 of 22
Supply and Demand and Market Efficiency
million hamburgers per month. Total producer and consumer surplus is reduced by the area of
triangle ABC shaded in yellow. This is called the deadweight loss from underproduction.
Figure 4.9(b) shows the consequences of producing 10 million hamburgers per month instead of 7
million hamburgers per month. As production increases from 7 million to 10 million hamburgers,
the full cost of production rises above consumers’ willingness to pay, resulting in a deadweight
loss equal to the area of triangle ABC.
PpApHuC
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 22 of 22
Supply and Demand and Market Efficiency
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 23 of 22
REVIEW TERMS AND CONCEPTS
© 2009 Pearson Education, Inc. Publishing as Prentice Hall Principles of Macroeconomics 9e by Case, Fair and Oster 24 of 22