Markets
What is a market?
View this slideshow to prompt discussion / thought about what the phrase ‘market’ can mean in Economics:
MS Powerpoint version of above: http://opengecko.com/resources/economics/markets/Markets.ppt
MJMFoodie introduces the concept of markets and explains the importance of the price mechanism (but does not yet explain how that actually works … that comes later ..,):
We now need to understand the structure of the market. We can say that there are different types of market which lie somewhere along a spectrum of market structures. There are two theoretical extremes to this spectrum (perfect competition and monopoly).
Again, a useful instructional video by MJMFoodie should provide guidance here:
Now see if you can apply your understanding from the above to the images in this slideshow:
MS Powerpoint version of above: http://opengecko.com/resources/economics/markets/Market%20Structure.ppt
| Print article | This entry was posted by James Penstone on September 13, 2010 at 9:39 am, and is filed under IB Economics. Follow any responses to this post through RSS 2.0. You can leave a response or trackback from your own site. |
No comments yet.
No trackbacks yet.
Describe pricing and output policies in perfect competition and monopoly
about 12 years ago - No comments
First, you need to find out answers to the following broad questions: What is perfect competition? What is a monopoly? The video below is a very good starting point. You can ignore the early bit on costs. Activity 1) Research how these two market types set their price and output. Can they control these two…
Oligopoly
about 13 years ago - No comments
IB Syllabus requirements: • Assumptions of the model • Collusive and non-collusive oligopoly • Cartels • Kinked demand curve as one model to describe interdependent behaviour • Importance of non-price competition • Theory of contestable markets BrynJonesOnline introduces the theory before moving onto Kinked Demand Theory: Cartels This helpful video is by richardmckenzie Non Collusion…
Monopolistic Competition
about 13 years ago - No comments
Here is the IB syllabus requirement for this sub-topic: Monopolistic competition • Assumptions of the model • Short-run and long-run equilibrium • Product differentiation • Efficiency in monopolistic competition From www.reffonomics.com a useful introductory slide on calculating price and quantity under monopolistic competition scenario: Which then leads to finding profit (from the same site, www.reffonomics.com)…
Perfect Competition
about 13 years ago - No comments
The IB Economics syllabus requires you to understand the following: • Assumptions of the model • Demand curve facing the industry and the firm in perfect competition • Profit-maximizing level of output and price in the short-run and long-run • The possibility of abnormal profits/losses in the short-run and normal profits in the long-run •…
The Effects of Price Controls
about 14 years ago - No comments
This section of the IB syllabus requires you to understand the following: Maximum price: causes and consequences Minimum price: causes and consequences Price support/buffer stock schemes Before learning about these concepts, it is first worth being sure of the following concepts: Consumer Surplus Producer Surplus The rest of this post gives you links to online…
Supply and Demand Interacting – The Equilibrium Price
about 14 years ago - No comments
Understand Demand? Understand Supply? Now we need both hands to clap, and when we put them together we can understand how prices are arrived at when market forces are left to their own devices (and also when they’re not). What Adam Smith called the invisible hand … you need to know this concept like the…
Introducing Demand
about 14 years ago - 1 comment
EXCEL spreadhseet to explore / predict how a demand ‘curve’ might work. MJMFoodie video introducing demand: Slideshow to prompt discussion / thought around the different variables that might move the demand curve. [IB students should know how this relates to the concept of ceteris paribus (look it up) and that changes in these variables are…
