ECON The Wall Street Journal

Slides:

Advertisements

Similar presentations

Supply and Demand.

Advertisements

Chapter Price 6. Objectives: Students will learn… How the market establishes an equilibrium price How the equilibrium price balances supply & demand How.

Market Equilibrium Market equilibrium is the condition that exists when quantity supplied and quantity demanded are equal. At equilibrium, there is no.

2 SUPPLY AND DEMAND I: HOW MARKETS WORK. Copyright © 2006 Thomson Learning 4 The Market Forces of Supply and Demand.

2.1 Markets Supply Pg 47 Oliver Chang. Determinant of Supply Taxes: increases production costs and reduces supply Subsidies: lowers producers’ costs and.

3 SUPPLY AND DEMAND II: MARKETS AND WELFARE. Copyright © 2004 South-Western 7 Consumers, Producers, and the Efficiency of Markets.

Supply and Demand Cody L. Copus. Demand Lists of the amounts of a product buyers are willing to buy at all possible prices. Law of Demand Price of good/service.

Has your clicker response been recorded properly in the last 2 classes? 1.Yes, no problems. 2.I had problems earlier, but now its fine. 3.I am still having.

Supply and Demand Chapter 3. Competitive Market Lots of buyers and sellers dealing in identical goods.

1 Excise Tax on a Market. 2 excise tax An excise tax is a tax on the seller of a product. We treat the tax as a cost of doing business. If there is no.

Did you watch the Superbowl? 1.Yes, the whole thing. 2.Part of it. 3.No.

Lecture 8 Market Equilibrium Analysis. Market Equilibrium Price Adjustments –A shortage forces the price up. –A surplus forces the price down. Such price.

Demand. Quantity of a product that buyers are willing and able to purchase at any and all prices Consumers are interested in receiving the most satisfaction.

Individual Markets: Demand and Supply Chapter 3. Combining Demand and Supply All markets have both demand and supply operating simultaneously. Therefore.

3 DEMAND AND SUPPLY. © 2012 Pearson Addison-Wesley Equilibrium is a situation in which opposing forces balance each other. Equilibrium in a market occurs.

MARKET CHANGE USING ECONOMIC CONCEPTS TO UNDERSTAND HOW AND WHY PRICES AND QUANTITIES CHANGE OVER TIME – THROUGH THE INTERACTION OF BUYERS AND SELLERS.

ECON111 Tutorial 3, Week 4.

The Market System Demand, Supply and Price Determination.

Individual Markets: Demand & Supply 3 C H A P T E R.

Chapter 4 Demand and Supply. The Market can be a location, network of buyers and sellers for a product, demand for a product or a price-determination.

02 Supply and demand Acknowledgement: John Kane SUNY.

Supply and Demand Graph Presentation 09/09/2010 “Taking advantage of vacant mall space, Toys “R” Us is opening 600 temporary shops—or “pop-up stores”—this.

Economics Learning Steps 1/23/13. Complete Fundamentals of Economics Unit 1 Test Review.

Price: Supply and Demand Together. Finding Market Equilibrium Supply and Demand work together to determine price. Surplus: The condition in which the.

Supply & Demand. Before We Start Economic Terms: Market Competitive Market Perfectly Competitive Normal Good Inferior Good Substitutes Complements Ceteris.

 As the price of a good or service that producers are willing and able to offer for sale during a certain period of time rises (or falls), the quantity.

Changes in Equilibrium Lesson 2.7. Changes in Supply and Demand Law of Demand and Law of Supply describe what happens when prices change When price changes,

Demand Defined Demand Graphed Changes in Demand Supply Defined Supply Graphed Changes in Supply Equilibrium Surpluses Shortages Individual Markets: Demand.

2 SUPPLY AND DEMAND I: HOW MARKETS WORK Copyright © 2004 South-Western A Market Economy Consumer: a person who buys and uses goods and services Producer:

SUPPLY AND DEMAND: HOW MARKETS WORK. A market is a group of buyers and sellers of a particular good or service. MARKETS AND COMPETITION.

DEMAND, SUPPLY, and MARKET EQUILIBRIUM Appendix (chapter 3)

Chapter 6 Combining Supply and Demand. Equilibrium- where the supply and demand curves cross. Equilibrium determines the price and the quantity to be.

SUPPLY AS ECON. SUPPLY Quantity supplied of any good is the amount that sellers are willing to sell in the market Determinants of supply: – Price – Input.

State 6 external factors that may affect a business’s decisions Income levels Price of other goods – substitutes or compliments Changes in tastes and fashions.

Econ 2301 Dr. Jacobson Mr. Stuckey Week 3 Class 3.

Demand A Schedule Showing the Consumers are Willing and Able to Purchase At a Specified Set of Prices During A Specified Period of Time Amounts of a Good.

Main Definitions Market: –All situations that link potential buyers and potential sellers are markets. Demand: –A demand schedule shows price and quantity.

Supply and Demand: Supply and Equilibrium. * What is the supply curve? * What is the difference between movements along the supply curve and changes in.

An Introduction to U.S. Markets.  Markets  How are prices set?

Supply and Demand A competitive market is a market in which there are   many buyers and sellers   of the same good or service. The supply and demand.

Intro To Microeconomics.  Cost is the money spent for the inputs used (e.g., labor, raw materials, transportation, energy) in producing a good or service.

Demand Amount of goods or services a person is willing and able to buy Must not only want the good, but also be able to pay for it The law of demand states.

Chapter 6 Supply, Demand and Government Policies

Demand, Supply, and Market Equilibrium

Market Equilibrium: Putting Supply & Demand Together

MARKET EQUILIBRIUM.

Econ Unit One Day 8.

Chapter 1: Appendix The Basics of Demand, Supply, and Equilibrium

6-1: Seeking Equilibrium: Demand and Supply

Section 2 Module 5.

Section 2 Module 7.

SUPPLY AND DEMAND: HOW MARKETS WORK.

Content from chapters 5-9

“Fungus Fears Push Orange Juice Up” Student name Econ /30/2012

Scenario: Real GDP is 3,000 units, the average price level is $4 a unit and the quantity of money in the economy is $1,500. Calculate the velocity of.

Market Effects of Changes in Demand or Changes in Supply

2.3 How Competitive Markets Operate

Supply and Demand: Single and Multiple Changes in the Market for Homes

EQUATION 2.1 Demand Function.

The determination of equilibrium market prices

Supply and Demand Review Game

Equilibrium in the Market

Chapter 4 Demand and Supply.

SUPPLY AND DEMAND I: HOW MARKETS WORK

Supply, Demand, and Government Policies

Warm Up Explain the law of supply.

MARKET EQUILIBRIUM.

Factors that Shift Demand & Supply

Presentation transcript:

ECON 2105 The Wall Street Journal

Housing Market HOUSING PRICE Quantity In a normal housing market… Supply Curve Equilibrium Price Rate Demand Curve Equilibrium Quantity Quantity

Housing Market HOUSING PRICE QUANTITY Currently… Supply Curve New equilibrium price rate Demand Curve New Demand Curve for Housing New equilibrium quantity QUANTITY

Causes for Downturn As the economy still weathers record unemployment, buyers home purchasing power remains low, decreasing demand. This has a direct effect on home values which are falling at an accelerating rate. Thus, inventory levels of unsold homes are on the rise. Overall, buyers and sellers are at a standoff. Sellers reject low-ball offers and buyers demand a discount for belief that prices will drop even lower.