1. Managerial Economics-Charles W. Upton Tabular Analysis of Equilibrium

2. 2 Agenda The previous lecture worked with graphical cost functions. Now we turn to tabular cost functions.

3. Tabular Analysis of Equilibrium 3 A Tabular Analysis 1

4. Tabular Analysis of Equilibrium 4 A Tabular Analysis 2

5. Tabular Analysis of Equilibrium 5 A Tabular Analysis 3

6. Tabular Analysis of Equilibrium 6 Supply Curve, Firm 1

7. Tabular Analysis of Equilibrium 7 Supply Curve, Firm 1

8. Tabular Analysis of Equilibrium 8 Supply Curve, Firm 2

9. Tabular Analysis of Equilibrium 9 Supply Curve, Firm 3

10. Tabular Analysis of Equilibrium 10 The Industry Supply Curve

11. Tabular Analysis of Equilibrium 11 The Industry Supply Curve P = 5, Q = 5

12. Tabular Analysis of Equilibrium 12 The Industry Supply Curve P = 6, Q = 6

13. Tabular Analysis of Equilibrium 13 The Industry Supply Curve P = 7, Q = 7

14. Tabular Analysis of Equilibrium 14 The Industry Supply Curve P = 8, Q = 11

15. Tabular Analysis of Equilibrium 15 The Industry Supply Curve P = 10, Q = 14

16. Tabular Analysis of Equilibrium 16 The Industry Supply Curve P = 12, Q = 16

17. Tabular Analysis of Equilibrium 17 The Industry Supply Curve P = 16, Q = 19

18. Tabular Analysis of Equilibrium 18 The Industry Supply Curve P = 28, Q = 24

19. Tabular Analysis of Equilibrium 19 Summary We find industry supply by adding firm supply curves.

20. Tabular Analysis of Equilibrium 20 Summary We find industry supply by adding firm supply curves. At some prices, marginal firms are not in industry.

21. Tabular Analysis of Equilibrium 21 Summary We find industry supply by adding firm supply curves. At some prices, marginal firms are not in industry. We could compute each firm’s profit at different prices.

22. Tabular Analysis of Equilibrium 22 Summary We find industry supply by adding firm supply curves. At some prices, marginal firms are not in industry. We could compute each firm’s profit at different prices. We could also compute industry price elasticity of supply.

23. Tabular Analysis of Equilibrium 23 End ©2005 Charles W. Upton