《中级微观经济学》PPT课件.ppt

IntroductionIntermediateMicroeconomics Introduction Name LuGaoTel 0596 6288138Email gaolu Office EconomicandManagementBuildingC415Answeringtime Wednesday16 00 17 30Thursday16 00 17 30Friday16 00 17 30 Overview NameofCourse IntermediateMicroeconomicsReferenceBookRobert S PindyckandDaniel L Rubinfeld Microeconomics ChinaTsinghuaUniversityPress 2006PurposeofCourse IntermediateMicroeconomicsisafundamentalcourseforallthebusinessmajors Thiscourseprovidesaframeworkforstudentstomasterbasictheories analyticaltoolsandmethodologyofmicroeconomics Studentsshallbeabletoapplythetheoriestotherealworld explaintheworldandChinesemicroeconomicissueswiththetheories andlayasolidfoundationforotherbusinesssubjects 3 LearningObjective KeytosuccessinlearningIntermediateMicroeconomicsIntroductiontheAssessmentReviewingPositive NormativeAnalysisReal NominalPrices 4 Keystosuccessinlearningintermediatemicroeconomics IntermediateMicroeconomicsrequiresalotofnewtheoriesandvocabularyHavefun Applyingtheoriestotherealworld ThinkingnotmemorizingEducationisnotaboutmemorizingalotofinformationbutratherlearningtoseetheworldinadifferentwayasthisisaskillyoucankeepforlife Assessment Reviewing DefinintionofEconomicsDifferencebetweenMicroeconomicsandMacroeconomicsTenEconomicPrinciplesHowpeoplemakedecisionsHowpeopleinteractHowtheeconomyworksasawhole 6 DefinitionofEconomy ThewordeconomycomesfromaGreekwordfor onewhomanagesahousehold Scarcity thelimitednatureofsociety sresourcesEconomics thestudyofhowsocietymanagesitsscarceresources e g howpeopledecidewhattobuy howmuchtowork save andspendhowfirmsdecidehowmuchtoproduce howmanyworkerstohirehowsocietydecideshowtodivideitsresourcesbetweennationaldefense consumergoods protectingtheenvironment andotherneeds DifferencebetweenMicroeconomics Macroeconomics MicroeconomicsBranchofeconomicsthatdealswiththebehaviorofindividualeconomicunits consumers firms workers andinvestors aswellasthemarketsthattheseunitscomprise MacroeconomicsBranchofeconomicsthatdealswithaggregateeconomicvariables suchasthelevelandgrowthrateofnationaloutput interestrates unemployment andinflation 0 ThePrinciplesofHowPeopleMakeDecisions Principle 1 PeopleFaceTradeoffs Principle 2 TheCostofSomethingIsWhatYouGiveUptoGetIt Principle 3 RationalPeopleThinkattheMargin Principle 4 PeopleRespondtoIncentives 10 AlldecisionsinvolvetradeoffsExamples NoFreeLunchHowAFamilyDecidestoSpendItsIncomeGun ButterCleanEnvironment HighIncome Principle 1 PeopleFaceTradeoffs 0 11 efficiencyvs equalityEfficiency whensocietygetsthemaximumbenefitsfromitsscarceresourcesEquality thepropertyofdistributingeconomicprosperityuniformlyamongthemembersofsocietyTradeoff thecostofthisincreasedequalityisareductionintheefficientuseofourresources Principle 1 PeopleFaceTradeoffs 0 12 ConsideringtheBenefitsandCost Makingdecisionsrequiresindividualstoconsiderthebenefitsandcostsofsomeaction Example ShouldYaominggotocollege Shouldyougotocollege Principle 2 TheCostofSomethingIsWhatYouGiveUptoGetIt 13 Definitionofopportunitycost whatevermustbegivenupinordertoobtainsomeitem ValueofTime Principle 2 TheCostofSomethingIsWhatYouGiveUptoGetIt 14 Rationalpeoplesystematicallyandpurposefullydothebesttheycantoachievetheirobjectives ThegreatestlevelofsatisfactionThemaximizationofprofit Principle 3 RationalPeopleThinkattheMargin 15 MarginalchangesSmallincrementaladjustmentstoaplanofaction ConsideringMarginalCostandMarginalBenefitExamples Planeseat Principle 3 RationalPeopleThinkattheMargin 16 Incentive somethingthatinducesapersontoactRationalpeopleweighingcostsandbenefits respondtoIncentivesExamples Reward PunishmentHighPrice LowPrice Principle 4 PeopleRespondtoIncentives ACTIVELEARNING1Applyingtheprinciples Youaresellingyour2001laptop YouhavealreadyspentRMB800onrepairs Atthelastminute thelaptopdies YoucanpayRMB1000tohaveitrepaired orsellthePC asis Ineachofthefollowingscenarios shouldyouhavethelaptoprepaired A LaptopvalueisRMB7800ifitworks RMB6700ifitdoesn tB LaptopvalueisRMB7800ifitworks RMB6900ifitdoesn t 17 ACTIVELEARNING1Answers Costoffixinglaptop RMB1000A LaptopvalueisRMB7800ifitworks RMB6700ifitdoesn tBenefitoffixingthelaptop RMB1100 RMB7800 RMB6700 It sworthwhiletohavethelaptopfixed B LaptopvalueisRMB7800ifitworks RMB6900ifitdoesn tBenefitoffixingthelaptop RMB900 RMB7800 RMB6900 PayingRMB1000tofixlaptopisnotworthwhile 18 ACTIVELEARNING1Answers Observations TheRMB800youpreviouslyspentonrepairsisirrelevant Whatmattersisthecostandbenefitofthemarginalrepair ThechangeinincentivesfromscenarioAtoscenarioBcausedyourdecisiontochange 19 0 TheprinciplesofHowPeopleInteract Principle 5 TradeCanMakeEveryoneBetterOff Principle 6 MarketsAreUsuallyAGoodWaytoOrganizeEconomicActivity Principle 7 GovernmentsCanSometimesImproveMarketOutcomes 21 GettingDressedinGlobalEconomyWheredoyourclothescomefrom Whoworkedtoproduceyourclothes Whatthingsdoyouconsiderwhenbuyingagarment Wherewereyourclothesproduced whatcounties Principle 5 TradeCanMakeEveryoneBetterOff 22 Market agroupofbuyersandsellers neednotbeinasinglelocation MarketEconomy aneconomythatallocatesresourcesthroughthedecentralizeddecisionsofmanyfirmsandhouseholdsastheyinteractinmarketsforgoodsandservices Principle 6 MarketsAreUsuallyAGoodWaytoOrganizeEconomicActivity 23 Principle 6 MarketsAreUsuallyAGoodWaytoOrganizeEconomicActivity AnInvisibleHandFamousinsightbyAdamSmithinTheWealthofNations 1776 Pricesguidesself interestedhouseholdsandfirmstomakedecisionsthat inmanycases maximizesociety seconomicwell being Centrallyplannedeconomiesfailed 24 PropertyRights theabilityofanindividualtoownandexercisecontroloverscarceresources Importantroleforgovernment enforcepropertyrights withpolice courts Peoplearelessinclinedtowork produce invest orpurchaseiflargeriskoftheirpropertybeingstolen Principle 7 GovernmentsCanSometimesImproveMarketOutcomes 25 Marketfailure asituationinwhichamarketleftonitsownfailstoallocateresourcesefficientlyCauses Externalities theimpactofoneperson sactionsonthewell beingofabystander e g pollution Marketpower theabilityofasingleeconomicactor orsmallgroupofactors tohaveasubstantialinfluenceonmarketprices e g monopoly Principle 7 GovernmentsCanSometimesImproveMarketOutcomes 0 TheprinciplesofHowTheEconomyAsAWholeWorks Principle 8 Acountry sstandardoflivingdependsonitsabilitytoproducegoods services Principle 9 Pricesrisewhenthegovernmentprintstoomuchmoney Principle 10 Societyfacesashort runtradeoffbetweeninflationandunemployment 27 Differencesinlivingstandardsfromonecountrytoanotherarequitelarge Changesinlivingstandardsovertimearealsogreat Productivity thequantityofgoodsandservicesproducedfromeachunitoflaborinput Highproductivityimpliesahighstandardofliving Productivitydependsontheequipment skills andtechnologyavailabletoworkers Principle 8 Acountry sstandardoflivingdependsonitsabilitytoproducegoods services 28 Inflation anincreaseintheoveralllevelofpricesintheeconomy Whenthegovernmentcreatesalargeamountofmoney thevalueofmoneyfalls leadingtopriceincreases Thefasterthegovtcreatesmoney thegreatertheinflationrate Principle 9 Pricesrisewhenthegovernmentprintstoomuchmoney 29 Intheshort run 1 2years Anincreaseintheamountofmoneystimulatesspendingandincreasesthequantityofgoodsandservicessoldintheeconomy Anincreaseinthedemandleadstohigherprices Theincreaseinthequantityofgoodsandservicescausefirmstohireadditionalworkers Principle 10 Societyfacesashort runtradeoffbetweeninflationandunemployment 30 Theshort runtrade offbetweeninflationandunemploymentplaysakeyroleintheanalysisofthebusinesscycle BusinessCycle fluctuationsineconomicactivity suchasemploymentandproduction thetradeoffisalwayspresent Principle 10 Societyfacesashort runtradeoffbetweeninflationandunemployment Positivevs NormativeStatementsPositivestatementswhichattempttodescribetheworldasitis Analysisdescribingrelationshipsofcauseandeffect Normativestatementswhichattempttoprescribehowtheworldshouldbe Analysisexaminingquestionsofwhatoughttobe Positivestatementscanbeevaluatedbyexaminingdata whilenormativestatementsinvolvepersonalviewpoint 31 Positive NormativeAnalysis TheEconomistasScientistTheEconomistasPolicyAdvisor ACTIVELEARNING2Identifyingpositivevs normative 32 Whichofthesestatementsare positive andwhichare normative Howcanyoutellthedifference A Pricesrisewhenthegovernmentincreasesthequantityofmoney B Thegovernmentshouldprintlessmoney C Ataxcutisneededtostimulatetheeconomy D Anincreaseinthepriceofburritoswillcauseanincreaseinconsumerdemandforvideorentals ACTIVELEARNING2Answers 33 A Pricesrisewhenthegovernmentincreasesthequantityofmoney Positive describesarelationship couldusedatatoconfirmorrefute B Thegovernmentshouldprintlessmoney Normative thisisavaluejudgment cannotbeconfirmedorrefuted ACTIVELEARNING2Answers 34 C Ataxcutisneededtostimulatetheeconomy Normative anothervaluejudgment D Anincreaseinthepriceofburritoswillcauseanincreaseinconsumerdemandforvideorentals Positive describesarelationship Notethatastatementneednotbetruetobepositive Real NominalPrices nominalpriceAbsolutepriceofagood unadjustedforinflation realpricePriceofagoodrelativetoanaggregatemeasureofprices priceadjustedforinflation ConsumerPriceIndex CPI Measureoftheaggregatepricelevel Itrecordshowthecostofalargemarketbasketofgoodspurchasedbya typical consumerinsomebaseyearchangesovertime