ECON 101 Lecture Notes - Lecture 4: Price Elasticity Of Demand, Perfect Competition, Oligopoly
Document Summary
Definition study of the choices people and societies make to attain their unlimited needs and wants, given their scarce resources. Neoclassical supply and demand, rationality, capitalism and profit maximisation. Keynesian economic output influenced by demand in the short range (sr) and demand is influenced by government expenditure. Marxian class relations, communism and social change and institutions. Behavioural economics social norms and influences, heuristics (rules of thumb) and bounded rationality. Neoclassical economics: in this unit we study choice making and interaction in markets from a neoclassical viewpoint. Supply and demand elasticity and shifts and movements in supply and demand. Market players government (eg: taxes, intervention, price setting, etc. individuals and firms (eg: production, costs, etc. Efficiency and market failure externalities, public goods and market power/monopolies. Types of markets perfect competition, monopolies, oligopolies, monopolistic competition, etc. People act on full and relevant information.
