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College aantekeningen Economie voor MAW
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Hoorcollege 1: Economie voor maatschappijwetenschappenDeel 1: Microeconomics “Branch of economics that studies how people make decisions and
how these decisions interactie (vb. Comptetitive markets)
Key concept: Smith’s invisible hand: individuals pursuing their own interest often
promote the interest of society as a whole
Deel 2: Macroeconomics “Branch of economics that is concerned with overall ups and downs
in the economy”
Concerned with overall functioning of the economy in the aggregate (GDP, inflation,
recessions, unemployment, economic growth)
Het gaat in de hoorcolleges om normatieve economie: theoretische voorspellingen over wat er
gedaan zou moeten worden. In de werkcolleges naar descriptieve economie: testen wat de
theorie voorspellen.
Program lecture 1
Competitive markets
- Many buyers and sellers
- Individual actions do not have an effect on price
The supply and demand model:
– The demand curve
– The supply curve
– Factors that cause the demand and the supply curve to shift
– Market equilibrium (equilibrium price & quantity)
– Supply and demand shifts change the equilibrium
The meaning of consumer and producer surplus.
The meaning and importance of total surplus and how it can be used to evaluate the
efficiency on a market.
Why competitive markets are efficient Smith’s invisible hand
Case: Rolling Stones
Agreed in ‘63 to give a concert at Magdalen College (UK) a year
later for £100; tickets were sold at £8.40. A year later, the Rolling
Stones were world famous and had to stop their US tour for the
performance Analyze what would have happened to the price of
tickets? First look at demand for tickets in ’64.
Antwoord A want voor elke prijs voordat ze beroemd
werden, waren er minder mensen bereid om die prijs
te betalen.
Shift of the demand curve: change in quantity demanded at any given price (keeping price
constant)
Movement along demand curve: a change in quantity demanded due to a change in price.
,Movement along the demand curve vs Shift of the demand
Movement along Shift of
Antwoord B
What causes a demand curve to shift?
- Changes in tastes (e.g. Rolling Stones, smartphone)
- Changes in the prices of related goods:
o Substitutes; rise in price of good 1 increases demand for good 2 (e.g.?)
o Complements; rise in price of good 1 decreases demand for good 2 (e.g.?)
- Changes in income:
o Normal Goods; rise in income increases demand
o Inferior Goods; rise in income decreases demand
Als inkomen stijgt kopen mensen minder noodles uit supermarket of
minder fastfood maar eerder naar restaurant
- Changes in expectations (e.g. stock market)
- Other factors: # consumers, weather; all factors affecting willingness to pay of
consumers; see Table 3.1
Consumer surplus & the Demand curve
- How much do buyers on a market gain from the existence of the market? (welfare)
- Individual consumer surplus is the net gain to an individual buyer from the purchase
of a good. It is equal to the difference between the buyer’s willingness to pay and the
price paid.
- Total consumer surplus in a market is the sum of the individual consumer surpluses of
all the buyers of a good.
First suppose there are only a few demanders (like in the experiment we will perform in
tutorial)…..
, Vergeet niet dat streepje te tekenen, als de prijs hoger is dan
59 euro dan is het surplus en de vraag 0 zie rode cirkel
Aanbod zijde je ziet dat wanneer de prijs lager wordt naar links, dan bij lage prijs minder
snel verkopen
Antwoord C, toename van aanbod is verschuiving
naar buiten, verschuiving naar binnen is een aanbod
afname. Bij aanbod gaat het om het verkopen van
producten, denk dus aan de inputkosten etc
What causes a supply curve to shift?
- Changes in tastes (e.g. Rolling Stones)
- Changes in input prices (less costly = more supply)
o An input is a good that is used to produce another good (e.g. airplane fuel
- Changes in Technology
o Turn inputs to output more efficiently
- Changes in Expectations - Expect stock price to rise = less supplied
- Other: weather/climate; number of producers; factors that affect the willingness to
sell/accept (see Table 3.2)
Producer surplus and the supply curve
- How much do sellers on a market gain from the existence of the market? (welfare)
- Individual producer surplus is the net gain to a seller from selling a good. It is equal to
the difference between the price received and the seller’s cost.
- Total producer surplus in a market is the sum of the individual producer surpluses of
all the sellers of a good.
, Opportunity cost are the cost of any activity measured in terms of the value of the best
alternative that is not chosen
Andrew heeft het boek, hoezo maakt hij kosten? Op gewone markt dan vergelijk je je
productiekosten etc. Maar hier is het op een tweedehandsmarkt, dan uitgaan van oppurtunity
costs. Andrew waardeert het nietmachine op 5 euro, als hij zijn boek voor minder dan 5 euro
kan verkopen houdt hij liever het boek. Als hij 10 krijgt dan boek verkopen en wel
nietmachine kosten, met dat geld van het boek.
Je ziet als de prijs hoger is dan 25 dan willen er 880 hun ticket verkopen, maar maar 500
mensen willen kopen dus raak je je kaartje niet kwijt. Daarom prijs op 25 dan precies 800. Bij
overmatige vraag (15 euro per kaartje en 1500 bereid te kopen, maar 500 bereid te verkopen
een gaat van 1000 euro) Daarom ga je terug convergeren naar evenwicht. Volgens de theorie
kunnen aanbieders en vragers die anders zitten dan de lijnen elkaar niet ontmoeten in het
experiment wel.
What is the producer and consumer surplus in
equilibrium?
Antwoord A!!!
Antwoord E je weet niet wat er met de hoeveelheid
gebeurt
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