ECN 104 Lecture Notes - Lecture 2: Complementary Good, Economic Equilibrium, French Fries

80 views5 pages
14 Dec 2015
Department
Course
Professor

Document Summary

Reference: ref 3-1 (figure: demand for coconuts) look at the gure demand for coconuts. If there is an increase in preference for coconuts, it will be represented in the gure as a movement from: b to e, c to a, a to c, b to a, figure: demand for dvds. Reference: ref 3-3 (figure: demand for dvds) look at the gure demand for dvds. Reference: ref 3-4 (figure: supply of coconuts) look at the gure supply of coconuts. They are the same thing: a shortage will exist when a good is scarce, scarcity is a result of two or more alternative uses, and quantities of supply and demand adjusting to. Exible prices will create shortages: suppose you manage a corner grocery store. Use the copy tool to create a new demand curve for tortilla chips after the increase in the price of salsa and label this line d2.

Get access

Grade+20% off
$8 USD/m$10 USD/m
Billed $96 USD annually
Grade+
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
40 Verified Answers
Class+
$8 USD/m
Billed $96 USD annually
Class+
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
30 Verified Answers

Related Documents