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Managerial Economics in a Global Economy

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Presentation on theme: "Managerial Economics in a Global Economy"— Presentation transcript:

1 Managerial Economics in a Global Economy
Chapter 3: Appendix Behind the Market Demand Curve The Theory of Consumer Choice PowerPoint Slides by Robert F. Brooker Harcourt, Inc. items and derived items copyright © 2001 by Harcourt, Inc.

2 Indifference Curves PowerPoint Slides by Robert F. Brooker Harcourt, Inc. items and derived items copyright © 2001 by Harcourt, Inc.

3 The Budget Line GF: M = $6, PX = PY = $1 GF’: PX = $2 GF’’: PX = $0.67
PowerPoint Slides by Robert F. Brooker Harcourt, Inc. items and derived items copyright © 2001 by Harcourt, Inc.

4 Consumer Equilibrium PowerPoint Slides by Robert F. Brooker Harcourt, Inc. items and derived items copyright © 2001 by Harcourt, Inc.

5 Derivation of the Consumer’s Demand Curve
PowerPoint Slides by Robert F. Brooker Harcourt, Inc. items and derived items copyright © 2001 by Harcourt, Inc.

6 Separation of the Substitution and Income Effect of a Price Change
PowerPoint Slides by Robert F. Brooker Harcourt, Inc. items and derived items copyright © 2001 by Harcourt, Inc.

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