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Documents CDAE 254 - Class 13 Oct. 10 Last class: 3. Individual demand curves 4. Market demand and elasticity....

CDAE 254 - Class 13 Oct. 10 Last class: 3. Individual demand curves 4. Market demand and elasticity Today: 4. Market demand and elasticity Next class: Market demand and elasticity…

Documents 1. Budget Constraint AB 0__ 1 2 3 4 5 6 P A = $12 P B = $2.40 Income = $72 7 6 5 4 3 2 1 0 510...

1. Budget Constraint PA = $12 PB = $2.40 Income = $72 7 6 5 4 3 2 1 0 5 10 15 20 25 30 35 40 45 50 A B 0 __ 1 __ 2 __ 3 __ 4 __ 5 __ 6 __ Choices are based on Comparisons…

Documents Chapter 3 Demand Theory. 1. Consumer Choice and the Law of Demand.

Chapter 3 Demand Theory 1. Consumer Choice and the Law of Demand Law of Demand Law of Demand: There is an inverse relationship between the price of a good and the quantity…