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TRANSCRIPT
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Module A: Mathematics
The handout for this video and the next one is page 6 of the "Class Handouts" linked above.
Module H: Profit
Module I: Competitive Equilibrium
Module J: Tax Incidence
Module K: Monopoly and Consumer & Producer Surplus
Module E: The Edgeworth Box
Efficiency without Communication, Part 2: The First Theorem of Welfare Economics: 4
Do not add rows or columns to this spreadsheet, or the checkboxes may stop working or become wrong.Video
Module A: Mathematics[No video for this part, which is on prerequisites.]
[No video: 8]
Slopes: 1
Graphs of Slopes: 2
Averages: 3
Averages and Marginals: 4Note that at 2:15 in this video, I say the top graph starts at 50, although it actually starts at 40. Later on in the video I correct that mistake. Also, the methods we have to find the marginal are only approximations. (An exact method would require us to know the precise functional form of the relationship, which we do not know.) I first use 2-hour-long intervals to approximate the marginal; later, I use tangent lines. These approximations do not agree closely with each other in this example. In the PDF file linked below this row ("Relevant PDF file"), I show both approximations of the marginal, and specify more about where each comes from. In this class, we will mostly use the tangent-line approximation, which would be exact if we could draw a precise tangent line (which we can't). Furthermore, most of the graphs in the rest of this course will not have any numbers on their axes, so the tangent-line approximation will be the only one that can be used. Economists have to be able to deal with general shapes that have no numbers, because we often have little idea of what the right numbers are (since we usually can't run controlled experiments to measure things).
Relevant PDF fileIncome Tax example: 5
Social Security Tax example: 6I labeled the slope "0.765" but it's supposed to be "0.0765."
Medicare Premium example: 7 (The numbers are for the year 2014.)
Class HandoutsNo video for topic 8; instead, study the first two pages of the "Class Handouts" to understand how the lines for averages and marginals (bottom graphs) were derived from the totals (the top graphs). (These examples were inspired by the Theory of the Firm.)
Inverse Marginal: 9
Inverse Average: 10 After watching this video, practice with the first two pages of the "Class Handouts," trying
go from their "average" and "marginal" graphs to their "total" graphs.
Contour Lines: 11
Contour Lines, Part 2: 12
Module B: The Theory of Choice
Module C: Changes in Income and Prices
Convex and Concave Functions: 13
Utility functions: 1
Cognitive Limitations: 2
Indifference Curves' slope: 3 At 5:00 in this video, I refer to "superscripts," but they are actually subscripts. At 5:21, I
use the term indifference curve" without telling you what an "indifference curve" is: an indifference curve" is "a contour line of the utility function."
Indifference Curves for Non-monotonic Preferences :4
Indifference Curves' curvature: 5
Marginal Rate of Substitution: 6
The Budget Constraint: 7
Simple Consumer Choices: 8
Nonstandard Consumer Choices: Example 1: 9
Nonstandard Consumer Choices: Example 2: 10
Lump Sum Taxes, Part 1: 11
Lump Sum Taxes, Part 2: 12
Lump Sum Taxes, Part 3: 13
Lump Sum Taxes, Part 4: 14
Rationing: 15
The Income Expansion Path: 1
Normal and Inferior Goods: 2
Luxuries and Necessities: 3
Price Changes: 4
Complements and Substitutes: 5
Module D: Market Demand and Elasticity
Module F: The Technology of Production
The Income Effect and the Substitution Effect: 6
Complicated Example: Complements and Substitutes: 7
Complicated Example, continuted: Normal, Inferior, and Giffen Goods: 8
More on Giffen Goods: 9The final example, concerning laboratory rats, is explained in a three-page-long PDF linked
below this row. (Ignore the fact that its pages have blank spaces in odd places.)Lab rat example.
Final Example for Changes in Income and Prices: 10
Adding Demand Curves: 1
Elasticity of Demand: 2
Elasticity of Linear Demand: 3
Income Elasticity: 4
Cross-Price Elasticity: 5
Elasticity Example: 6
The Production Function and its Shortcomings: 1
Isoquants: 2
Rate of Technical Substitution: 3
Returns to Scale: 4
Module G: Cost Functions
The handout is page 5 of the PDF file linked below this row.
Returns to Scale: Further Examples: 5
Total Product Curves: 6
Marginal Product: 7
Average Product: 8
Relation between Average and Marginal: 9
Average Product versus Average Productivity: 10
Marginal Product and Rate of Technical Substitution: 11
Conceptual Difficulties with Capital and Capital Aggregation: 12
Capital Aggregation, Part 2: 13
Capital Aggregation, Part 3: 14For completely optional reading which will not be on any of our exams, follow the link
given below this row.Cambridge Capital Controversy
Cost Minimization, Part 1: 1 Note that the lines representing constant total cost (for example, the lines marked TC1,
TC2, TC3, etc. near the end of this video) are also called "isocost lines" because all points on each such line represent equal total cost for the firm.
Cost Minimization, Part 2: 2
Expansion Paths: 3
Short-Run Cost Function: Introduction: 4
Short-Run Total Costs: Type 1: 5
Short-Run average and Marginal Costs: Type 1: 6
Short-Run Type 1 Summary: 7
Class HandoutsShort-Run Total Costs: Type 2: 8
The handout for this video and the next one is page 6 of the "Class Handouts" linked above.
This concerns page 7 of the "Class Handouts" linked above.
See page 8 of the "Class Handouts" linked above.
See the top of page 9 of the "Class Handouts" linked above.
See the bottom of page 9 of the "Class Handouts" linked above.
See page 10 of the "Class Handouts" linked above.
Module H: Profit
Short-Run Average and Marginal Costs: Type 2: 9
Short Run to Long Run, Part 1: 10
Short Run to Long Run, Part 2: 11
Short Run to Long Run: No Crossing is Possible: 12
Short Run to Long Run, Conclusion: 13
Long Run Total Cost: 14
Long Run A1 and B1: 15
Long Run C1 and D1: 16
Long Run A2, B2, C2, and D2: 17
Equality of Marginal Products: 18An overview of Cost Curves is on page 4 of the "Class Handouts." You can ignore the "Very
Long Run" part of that page. Also, if you're having trouble understanding any of the shapes covered in Topic G, recall that almost all of the shapes are treated on pages 1 and
2 of the "Class Handouts."
Profit Maximization: 1
Characterization of Profit Maximization: 2
Perfect Competition: 3
Shutdown Rule: 4
Profit Graphing Rules: 5
Short-Run Supply Curve (Type 2): 6
Short-Run Supply Curve Detail (Type 2): 7
See the left-hand side of p. 12 of the "Class Handouts" linked below this row.
See the right-hand side of p. 12 of the "Class Handouts" linked above.
See the left-hand side of p. 11 of the "Class Handouts" linked above.
See the right-hand side of p. 11 of the "Class Handouts" linked above.
Module I: Competitive Equilibrium
Module J: Tax Incidence
At 14:02 in this video I correct a mistaken line I drew about 15 seconds earlier.
Module K: Monopoly and Consumer & Producer Surplus
Short-Run Simple Profit Graph (Type 2): 8
Short-Run Further Profit Graphs (Type 2): 9
Class HandoutsShort-Run Profit Graph (Type 1): 10
Long-run Competitive Pricing (Types A and B): 11
Long-Run Competitive Pricing (Types C and D): 12
Discontinuous Supply: 13
Imperfect Competition: Demand and Revenue: 14
Imperfect Competition: Marginal Revenue and Elasticity: 15
Imperfect competition: Linear Demand: 16
History of Economic Thought: Comment: 17
Optional Video (not on any exam): Critique of the "Very Long Run": 18
Equality of Marginal Costs; Equality of Marginal Revenues: 19
Market Structure: 1
Overview of Competitive Equilibrium: 2
No "Approach to Equilibrium": 3
Unusual Market Supply Curves: 4
Tax Incidence: 1
Subsidy Incidence: 2
Monopoly: Introduction: 1
Module L: Input Markets
Module M: Dynamic Economics
Monopoly: Examples: 2
Monopoly versus Competition, Part 1: 3
Consumer Surplus: 4
Producer Surplus: 5
Social Surplus: 6
Monopoly versus Competition, Part 2: 7
Expanding the realms of Supply & Demand: 1
Rent: 2
Demand for Inputs: 3
Supply of Inputs: 4
Monopsony: 5
Surplus in Monopsony: 6
Present Value: 1
Present Value Examples: 2
Sum of Geometric Series: 3
Module E: The Edgeworth Box
A Present Value Exercise: 4
The Edgeworth Box: 1
Contract Curve & Pareto Optimality: 2
Efficiency without Communication, Part 1: 3
Efficiency without Communication, Part 2: The First Theorem of Welfare Economics: 4
first all Problems from Problems fromlook? done? Old Textbook Previous Exams
(The "all done" c2.3
2.4
2.5
2.7
A8
A1A2A3
A4
A5A6A7
3.1
3.2
3.6
3.8
4.3
4.1
B1
C16
B2B3B4B5B6
C12
C13C14C15
C1
4.2
4.7
4.64.9
5.35.4
5.2
5.8
7.17.2
C2C3C4C5C6C7C8C9
C10C11
D6D7D8D9
D10
D1D2D3D4D5
7.37.7
8.1
8.4
8.5
F7
F1F4
F3F5F6
F8
F9
G4G5G8
G20
G1G2G3
G10
8.8
8.7
9.19.49.7
G17
G6G7
G18
G19G21G22G23
G11G12G13G14G15G16
G24
H1H9
H12H13H14
H2
9.8
11.211.611.7
11.311.8
H3H5H6
H10H11
I7
I1I2I3I4I5I6
J2
J1
12.212.312.412.512.6
12.1
14.314.414.514.614.714.9
K3K5K6K7K8
K10K11
K1K2K4
K12
L5L6L7L8L9
L10L11L12
L1L2L3L4
L13
16.216.316.616.8
M1M2M3M4M5M6M7
E5
E4