某竞争市场Competitive-Markets课件

单击此处编辑母版标题样式,单击此处编辑母版文本样式,第二级,第三级,第四级,第五级,Managerial Economics,Zhigang Tao,*,Competitive Markets,perfect competition,market equilibrium,supply shift,demand shift,adjustment time,receipts,vis-vis,incidence,Managerial Economics,1,Zhigang Tao,Question-1,A shipping lines major variable costs are fuel and labor,while its major fixed cost is the investment in the vessels.If the cost of fuel drops by 15%,what will be the effect on the price and quantity of shipping services?What will be the effect of an interest rate cut?,Managerial Economics,2,Zhigang Tao,Question-2,Manufacturers of consumer goods often sell their products through retailers.Manufacturers frequently complain that,when they reduce wholesale prices,their retailers do not reduce retail prices by the same amount.What is the source of this“problem”?,Managerial Economics,3,Zhigang Tao,Question-3,A major issue for manufacturers of industrial goods such as cement is whether their prices should include the costs of shipment to the consumer.How would the market for cement be affected if manufacturers switched from,pricing inclusive of freight,to,ex-works pricing,?,Managerial Economics,4,Zhigang Tao,Perfect Competition,homogeneous product(gold,mineral water),many buyers(gold,uranium),many sellers(silver,platinum),free entry and exit(internet service),equal information(photocopy services,medical services),Managerial Economics,5,Zhigang Tao,The Japanese Beer Market,Until 1994,the four domestic manufacturers controlled over a 95%share.,The Ministry of Finance issued,production licenses,to brewers with a minimum of 2m Liters a year and limited,sales licenses,to small family-owned stores that tended to stick with the big four brewers.,Managerial Economics,6,Zhigang Tao,Market Equilibrium,Definition:the price at which the quantity demanded equals the quantity supplied,excess supply triggers a price decrease,excess demand triggers a price increase,when market is not in equilibrium,market forces push price towards equilibrium,Managerial Economics,7,Zhigang Tao,0,20,22,8,10,11,supply,demand,a,b,c,equilibrium,excess supply,Quantity(Million ton-miles a year),Price($per ton-mile),Market Equilibrium,Managerial Economics,8,Zhigang Tao,Supply Shift,supply shifts down(up),demand remains fixed,lower(higher)price,larger(smaller)quantity,final equilibrium depends on,elasticities,of demand and supply,Managerial Economics,9,Zhigang Tao,0,19.60,20,10,10.4,original supply,new supply,demand,60 cents,60 cents,c,e,b,d,Quantity(Million ton-miles a year),Price($per ton-mile),a,Supply Shift,Managerial Economics,10,Zhigang Tao,Price Elasticities of Demand,0,10,19.40,20,original supply,new supply,demand,60 cents,60 cents,c,b,0,10,10.6,20,new supply,original supply,demand,60 cents,60 cents,b,c,Extremely inelastic demand,Extremely elastic demand,Quantity(Million ton-miles a year),Quantity(Million ton-miles a year),Price($per ton-mile),Price($per ton-mile),e,e,Managerial Economics,11,Zhigang Tao,0,20,10,demand,a,b,original and new supply,0,10,11,19.40,20,60 cents,60 cents,a,b,original supply,new supply,demand,Price($per ton-mile),Price($per ton-mile),Quantity(Million ton-miles a year),Quantity(Million ton-miles a year),Extremely inelastic supply,Extremely elastic supply,Price Elasticities of Supply,Managerial Economics,12,Zhigang Tao,The Demand for French Products,The supplies of French agriculture products(such as,foie,gras,and butter)to world markets depend on the exchange rate between the French franc and other world currencies.,Suppose that the franc becomes 10%more expensive,how will it affect the prices of,foie,gras,and butter on world markets?,Managerial Economics,13,Zhigang Tao,Wholesale Price Cuts,A frequent complaint among manufacturers of consumer goods is that,when they reduce wholesale prices,their retailers take bigger margins instead of passing on the full reduction to consumers.,What is the cause of this problem?Lack of retail competition,or the price,elasticities,of retail demand and supply.,Managerial Economics,14,Zhigang Tao,Demand Shift,demand shifts up(down),supply remains fixed,higher(lower)price,larger(smaller)quantity,final equilibrium depends on price,elasticities,of demand and supply,Managerial Economics,15,Zhigang Tao,0,20,10,10.8,supply,new demand,original demand,1 million,a,f,b,c,1 million,Quantity(Million ton-miles a year),Price($per ton-mile),Demand Shift,Managerial Economics,16,Zhigang Tao,Supply on Valentines Day,People buy greeting cards and roses throughout the year.As Valentines Day approaches,however,cards and roses become necessities.The price of roses always increases much more sharply than the price of greeting cards.Why?,Managerial Economics,17,Zhigang Tao,Adjustment Time,short run demand+supply,short run equilibrium,long run demand+supply,long run equilibrium,Managerial Economics,18,Zhigang Tao,0,20,22,100,105,price,short-run,average,variable cost,short-run,marginal cost,Quantity(Thousand ton-miles a year),Quantity(Thousand ton-miles a year),0,20,22,