Submitted by: Submitted by hyperbabez
Views: 369
Words: 31792
Pages: 128
Category: Business and Industry
Date Submitted: 06/24/2012 10:47 PM
Elements of Microeconomics
N.D. Hill May 22, 2005
ELEMENTS OF MICROECONOMICS. Copyright c 2004 by Nicholas Hill. All rights reserved. No part of this book may be used or reproduced without the permission of the author.
For Bruce Hamilton, who taught me
Contents
Introduction vi Equity and Efficiency . . . . . . . . . . . . . . . . . . . . . . . . . . vii Layout of the Book . . . . . . . . . . . . . . . . . . . . . . . . . . . vii Acknowledgements . . . . . . . . . . . . . . . . . . . . . . . . . . . viii 1 Producers 1.1 The Production Possibilities Frontier 1.2 Profit Maximization and Prices . . . 1.3 The Supply Curve . . . . . . . . . . 1.4 Problems . . . . . . . . . . . . . . . . 1.5 Solutions . . . . . . . . . . . . . . . . 2 Efficiency in Consumption 2.1 The Budget Constraint . . . . . . . . 2.2 Indifference Curves . . . . . . . . . . 2.2.1 Three Restrictions . . . . . . 2.2.2 Complements and Substitutes 2.3 The Demand Curve . . . . . . . . . . 2.4 Efficiency . . . . . . . . . . . . . . . 2.5 Problems . . . . . . . . . . . . . . . . 2.6 Solutions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 4 6 7 9 16 16 18 19 22 23 26 29 31 37 37 38 39 42 44
3 Equilibrium and Efficiency 3.1 Producer Revenue and Consumer Income 3.2 Aggregating Consumers . . . . . . . . . 3.3 Equilibrium in One Market . . . . . . . . 3.4 Equilibrium in Two Markets . . . . . . . 3.5 Efficiency . . . . . . . . . . . . . . . . . iv
CONTENTS 3.6 3.7 4 The 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.8 4.9
v
Problems . . . . . . . . ....