Do Now

What would you do if your favorite shoes went on sale for $5?

What would you do if your favorite shoes went on sale for $250?

MR. WOODECON 102

Equilibrium and Prices in the Market

Essential Question

How are Equilibrium prices set in the market and what happens when the equilibrium prices are changed?

9.12b.2 Discuss the effects of changes in supply and/or demand on the relative scarcity, price, and quantity of particular products (supply/demand curve.)

Objective

Identify and define market equilibrium and Equilibrium price

Let’s go back to Berkeley!!

http://www.youtube.com/watch?v=ZR2255CEhvk

24:45- 36:00

We will watch, compare notes with a partner + finally discuss the lecture

Today’s Reading Homework

THIEVES notes for Ch. 6

Title6.1- Introduction- 1-2 sentence summarySummary- key words + notes

6.2- 6.3, pages 100-5Headings into questions0-2 notes per paragraph

Ticket Out

Paired Verbal Fluency

- What did you learn today???

Do Now

What does Equilibrium Price mean?

Do Do Now

Why do shortages happen?

Why do surpluses happen?

Agenda

Yesterday Today

THIEVES NotesTitleIntroduction- 1-2 sentence summarySummary- key words + notes6.1- 6.3, pages 100-5Headings into questions0-2 notes per paragraph

Lecture from Cal-Berkeley

Lectures from Khan Academy

Watch, make predictions, Compare notes + Discuss

Practice Problems- Equilibrium Price

Homework- THIEVES- Headings into questions - First Sentence- Key words + ideasP. 105- 111- 6.4- 6.5

Objective

Explain and Graph Equilibrium prices

Demonstrate how shifts in demand and supply affect equilibrium price

Lecture – Equilibrium Price

https://www.khanacademy.org/economics-finance-domain/microeconomics/supply-demand-equilibrium/market-equilibrium-tutorial/v/market-equilibrium

Watch, Compare notes + Discuss

Changes in Equilibrium Price

https://www.khanacademy.org/economics-finance-domain/microeconomics/supply-demand-equilibrium/market-equilibrium-tutorial/v/changes-in-market-equilibrium

Watch, make predictions, Compare notes + Discuss

Practice- Test Prep

Practice situations with equilibrium price

Ticket Out

What would be the new equilibrium price for a can of Red Bull if it was found out that drinking a small can of Red Bull every day made you live 5 years less?

Do Now

Define 2 of the 3 terms

Allocative Efficiency Productive efficiency Dynamic Markets

Agenda

Yesterday Today

Lectures from Khan Academy

Watch, make predictions, Compare notes + Discuss

Practice Problems- Equilibrium Price

Homework- THIEVES- First Sentence- Key words + ideasP. 105- 111- 6.4- 6.5

Finish Test Prep Exercises Lecture- Price + Price Controls

Homework- THIEVES- First Sentence- Key words + ideasP. 112- 115- 6.6

Objective

Explain and Graph Equilibrium prices

Demonstrate how shifts in demand and supply affect equilibrium price

Explain the role of price in a modern mixed economy

Take out your Test Prep

Let’s continue to work on our Test Prep

Allocative Efficiency Productive

efficiency Dynamic MarketsCreative

Destruction

The Role of Price in a Modern Mixed Economy

HOW HAS THE MARKET FOR

TELECOMMUNICATIONS CHANGED IN THE PAST 20-30 YEARS?

H TT P : / /W W W. Y O U T U B E . C O M / WAT C H ? V = E X 7 Q L N G Z 7 Q OH TT P : / / W W W. Y O U T U B E . C O M / WAT C H ? V = 5 M C R F X D I Q W S

While you are watching the two videos- Answer this question with

2-3 details

Ticket Out

Define 2 of the 3 terms

Allocative Efficiency Productive efficiency Dynamic Markets

Do Now

What are Price Ceilings?

What are Price Floors?

(these are in your text book)

Agenda

Yesterday Today

Finish Test Prep Exercises Lecture- Price + Price Controls

Homework- THIEVES- First Sentence- Key words + ideasP. 112- 115- 6.6

Lecture on Government Intervention

Price Controls- Price Floors - Price Ceilings

Government Intervention

Price Ceiling

https://www.khanacademy.org/economics-finance-domain/microeconomics/consumer-producer-surplus/deadweight-loss-tutorial/v/minimum-wage-and-price-floors

Price Floors

Your Test!!!!

Next Class period!!!!