Scribd Logo
Upload

Welcome to Scribd!

  • 8 views

    Lesson 3 in Applied Economics

    Uploaded by

    shinnnnkagenou
    This document provides an overview of supply and demand concepts in economics. It defines key terms like supply, demand, supply curve, demand curve, and elasticity. It also outlines several factors that can shift the supply and demand curves, such as consumer income, population changes, consumer preferences, and prices of related or substitute goods. Examples are given of different types of elasticity, including perfectly inelastic, inelastic, unitary elastic, elastic, and perfectly elastic. Students are asked to compare demand and supply using a Venn diagram and prepare for a summative test on these concepts.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd

    Lesson 3 in Applied Economics

    Uploaded by

    shinnnnkagenou
    8 views36 pages
    This document provides an overview of supply and demand concepts in economics. It defines key terms like supply, demand, supply curve, demand curve, and elasticity. It also outlines several factors that can shift the supply and demand curves, such as consumer income, population changes, consumer preferences, and prices of related or substitute goods. Examples are given of different types of elasticity, including perfectly inelastic, inelastic, unitary elastic, elastic, and perfectly elastic. Students are asked to compare demand and supply using a Venn diagram and prepare for a summative test on these concepts.

    Original Title

    Lesson-3-in-Applied-Economics

    Copyright

    © © All Rights Reserved

    Available Formats

    PPTX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    This document provides an overview of supply and demand concepts in economics. It defines key terms like supply, demand, supply curve, demand curve, and elasticity. It also outlines several factors that can shift the supply and demand curves, such as consumer income, population changes, consumer preferences, and prices of related or substitute goods. Examples are given of different types of elasticity, including perfectly inelastic, inelastic, unitary elastic, elastic, and perfectly elastic. Students are asked to compare demand and supply using a Venn diagram and prepare for a summative test on these concepts.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    8 views36 pages

    Lesson 3 in Applied Economics

    Uploaded by

    shinnnnkagenou
    This document provides an overview of supply and demand concepts in economics. It defines key terms like supply, demand, supply curve, demand curve, and elasticity. It also outlines several factors that can shift the supply and demand curves, such as consumer income, population changes, consumer preferences, and prices of related or substitute goods. Examples are given of different types of elasticity, including perfectly inelastic, inelastic, unitary elastic, elastic, and perfectly elastic. Students are asked to compare demand and supply using a Venn diagram and prepare for a summative test on these concepts.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    of 36

    APPLIED

    ECONOMIC
    S
    PRAYE
    R
    RECAP:
    What is GDP?
    What is GNP?
    Differentiate exclusive growth from inclusive
    growth.
    Who is Henry Tan Chi Sieng Sy Sr.?
    WORD EQUATION

    Solve the following words


    to get the correct anwer.
    1. CONE – E SUMMER – M +INN – N +
    COME =
    CONSUMER INCOME
    2. UNIT + MARY – M – ELASTICITY –
    ITY =
    UNITARY ELASTIC

    3. SUPPER – PER + APPLY – AP + CURE –E +


    LOVE – LO =
    SUPPLY CURVE
    4. PER + INFECT – IN + KINDLY _ KIND + E +
    LAST + CRITIC – CRIT=
    PERFECTLY ELASTIC

    5. COMPLETE – ET ELEMENTARY –
    ELE + GO + ODS =
    COMPLEMENTARY GOODS
    LESSON OBJECTIVES:
    At the end of this chapter, the students are expected
    to:
    a. describe and explain demand and supply curve;

    b. Compare and contrast demand and supply;

    c. appreciate the value of supply and demand dynamics


    in real-life situation
    SUPPLY
    AND
    DEMAND
    DYNAMI
    CS
    Identify the given sets
    of pictures to solve the
    hidden words.
    SUPPLY
    WHAT IS SUPPLY?

    A stock of a resource from which a


    person or place can be provided
    with the necessary amount of that
    resource.
    SUPPLY CURVE
    WHAT IS SUPPLY CURVE?
    It depicts the relationship between
    quantity supplied of a good and the
    changes that occur as the price of the
    good changes, ceteris paribus, i.e. all
    things being equal.
    FACTORS THAT
    CAN SHIFT SUPPLY
    CURVE.
    SIZE OF
    INDUSTRY
    1. SIZE OF THE INDUSTRY

    An increase in the size of the industry


    will shift the supply curve to the right
    thus increasing the supply of goods.
    TECHNOLOGICAL
    PROGRESS
    2. TECHNOLOGICAL PROGRESS

    any technological progress


    leads to increase in the supply
    of goods.
    EDUCATION
    3. EDUCATION

    as the level and quality of


    education improves, it
    impacts as well on the increase in
    supply.
    PRICE OF INPUTS
    4. THE PRICE OF INPUTS

    When the prices of inputs increase this


    translates to lower supply and the shift is to
    the left; however, when the prices of goods
    of inputs decrease, this will result in more
    supply and will shift the curve to the right.
    PRICE OF RELATED
    OUTPUT
    5. THE PRICE OF RELATED
    OUTPUTS

    When the price of related outputs


    increase, the supply of goods will
    also increase and will shift the supply
    curve to the right.
    ELASTICITY OF SUPPLY
    ELASTICITY OF SUPPLY HAS FIVE
    CATEGORIES
    𝛜 = 0, PERFECTLY INELASTICS
    𝛜 < 1, INELASTICS
    𝛜 = 1, UNITARY ELASTIC
    𝛜 > 1, ELASTIC
    𝛜 = ∞ , PERFECTLY ELASTIC
    GOODS
    FREE GOODS are available in large quantities,
    ECONOMIC GOODS come at price whether goods
    or bads
    What is Demand?
    An economic principle referring to a consumer’s desire to
    purchase goods and services and willingness to pay a price
    for a specific good or service.
    What is Demand Curve?

    illustrates the amount of goods and


    services that consumers plan to purchase
    at any given
    price. It can also happen that the demand
    can shift to the right or left.
    FACTORS THAT CAN PRODUCE SHIFT
    IN THE DEMAND CURVE
    1. CONSUMER INCOME
    as it increases, the quantity demanded of a good
    normally increases as well.
    2. POPULATION
    As population grows, it also means that the quantity
    demanded of the good at any given price also normally
    increases.
    3. CONSUMER PREFERENCES
    if the consumer tastes shifts in favor of a particular
    good then there also will be an increase in the demand
    of that good.
    4. THE PRICE AVAILABILITY OF RELATED
    GOODS
    A. COMPLEMENTARY GOODS

    B. SUBSTITUTE GOODS
    A. COMPLEMENTARY GOODS
    B. SUBSTITUTE GOODS
    ELASTICITY
    FIVE CATEGORIES OF DEMAND
    OF ELASTICITY OF
    DEMAND

    1. Perfectly inelastic where E = 0.


    2. Inelastic where E < 1.
    3. Unitary elastic where [ŋ] = 1.
    4. Elastic where E > 1.
    5. Perfectly elastic where E = ∞.
    ACTIVITY #3 IN APPLIED
    ECONOMICS
    Compare and contrast the
    demand and supply. Use Venn
    Diagram on another sheet of
    paper.
    3RD SUMMATIVE TEST IN APPLIED
    ECONOMICS
    THANK
    S!

    You might also like