{"product_id":"microeconomics-isbn-9781119554844","title":"Microeconomics","description":"\u003cp\u003e\u003ci\u003eMicroeconomics \u003c\/i\u003eis a classroom-tested resource for learning the key concepts, essential tools, and applications of microeconomics. This leading textbook enables students to recognize and analyze significant data, patterns, and trends in real markets through its integrated, student-friendly approach to the subject — providing practice problems, hands-on exercises, illustrative examples, and engaging applications that ground theory firmly in the real world. Each chapter, opening with a set of clearly defined learning goals based on the Bloom Taxonomy, features numerous Learning-by-Doing (LBD) problems, mathematical and graphical data, and varied problem sets focused on current events.\u003c\/p\u003e \u003cp\u003eNow in its sixth edition, the text offers extensive new and revised content throughout. All applications reflect current data and important new developments in the field of economics, including behavioral economics, randomized controlled trials (RCTs) in policy evaluation and design, and computational-based microeconomics. Updated chapter openers, designed to increase student interest, cover topics including the economic impacts of climate change, U.S. household income and spending, surge pricing by Uber and Lyft, the effect of immigration on wages, and advances in robotics, automation, artificial intelligence, and more.\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart 1 Introduction to Microeconomics\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 1 Analyzing Economic Problems 1\u003cbr\u003e\u003c\/b\u003eMicroeconomics and Climate Change\u003c\/p\u003e \u003cp\u003e1.1 Why Study Microeconomics? 4\u003c\/p\u003e \u003cp\u003e1.2 Three Key Analytical Tools 5\u003c\/p\u003e \u003cp\u003eConstrained Optimization 6\u003c\/p\u003e \u003cp\u003eEquilibrium Analysis 12\u003c\/p\u003e \u003cp\u003eComparative Statics 14\u003c\/p\u003e \u003cp\u003e1.3 Positive and Normative Analysis 18\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLearning-By-Doing-Exercises\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1.1 Constrained Optimization: The Farmer’s Fence 7\u003c\/p\u003e \u003cp\u003e1.2 Constrained Optimization: Consumer Choice 8\u003c\/p\u003e \u003cp\u003e1.3 Comparative Statics with Market Equilibrium in the U.S. Market for Corn 16\u003c\/p\u003e \u003cp\u003e1.4 Comparative Statics with Constrained Optimization 18\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 2 Demand and Supply Analysis 26\u003cbr\u003e\u003c\/b\u003eWhat Gives with the Price of Corn?\u003c\/p\u003e \u003cp\u003e2.1 Demand, Supply, and Market Equilibrium 30\u003c\/p\u003e \u003cp\u003eDemand Curves 30\u003c\/p\u003e \u003cp\u003eSupply Curves 32\u003c\/p\u003e \u003cp\u003eMarket Equilibrium 34\u003c\/p\u003e \u003cp\u003eShifts in Supply and Demand 35\u003c\/p\u003e \u003cp\u003e2.2 Price Elasticity of Demand 44\u003c\/p\u003e \u003cp\u003eElasticities Along Specific Demand Curves 46\u003c\/p\u003e \u003cp\u003ePrice Elasticity of Demand and Total Revenue 49\u003c\/p\u003e \u003cp\u003eDeterminants of the Price Elasticity of Demand 49\u003c\/p\u003e \u003cp\u003eMarket-Level Versus Brand-Level Price Elasticities of Demand 51\u003c\/p\u003e \u003cp\u003e2.3 Other Elasticities 53\u003c\/p\u003e \u003cp\u003eIncome Elasticity of Demand 53\u003c\/p\u003e \u003cp\u003eCross-Price Elasticity of Demand 54\u003c\/p\u003e \u003cp\u003ePrice Elasticity of Supply 56\u003c\/p\u003e \u003cp\u003e2.4 Elasticity in the Long Run Versus the Short Run 56\u003c\/p\u003e \u003cp\u003eGreater Elasticity in the Long Run than in the Short Run 56\u003c\/p\u003e \u003cp\u003eGreater Elasticity In the Short Run than in the Long Run 57\u003c\/p\u003e \u003cp\u003e2.5 Back-of-the-Envelope Calculations 59\u003c\/p\u003e \u003cp\u003eFitting Linear Demand Curves Using Quantity, Price, and Elasticity Information 60\u003c\/p\u003e \u003cp\u003eIdentifying Supply and Demand Curves on the Back of an Envelope 61\u003c\/p\u003e \u003cp\u003eIdentifying the Price Elasticity of Demand from Shifts in Supply 63\u003c\/p\u003e \u003cp\u003eAppendix Price Elasticity of Demand along a Constant Elasticity Demand Curve 74\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLearning-By-Doing-Exercises\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e2.1 Sketching a Demand Curve 31\u003c\/p\u003e \u003cp\u003e2.2 Sketching a Supply Curve 33\u003c\/p\u003e \u003cp\u003e2.3 Calculating Equilibrium Price and Quantity 34\u003c\/p\u003e \u003cp\u003e2.4 Comparative Statics on the Market Equilibrium 37\u003c\/p\u003e \u003cp\u003e2.5 Price Elasticity of Demand 47\u003c\/p\u003e \u003cp\u003e2.6 Elasticities along Special Demand Curves 49\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart 2 Consumer Theory\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 3 Consumer Preferences and the Concept of Utility 75\u003cbr\u003e\u003c\/b\u003eWhy Do You Like What You Like?\u003c\/p\u003e \u003cp\u003e3.1 Representations of Preferences 77\u003c\/p\u003e \u003cp\u003eAssumptions About Consumer Preferences 77\u003c\/p\u003e \u003cp\u003eOrdinal and Cardinal Ranking 80\u003c\/p\u003e \u003cp\u003e3.2 Utility Functions 80\u003c\/p\u003e \u003cp\u003ePreferences with a Single Good: The Concept of Marginal Utility 80\u003c\/p\u003e \u003cp\u003ePreferences with Multiple Goods: Marginal Utility, Indifference Curves, and the Marginal Rate of Substitution 84\u003c\/p\u003e \u003cp\u003e3.3 Special Preferences 95\u003c\/p\u003e \u003cp\u003ePerfect Substitutes 95\u003c\/p\u003e \u003cp\u003ePerfect Complements 96\u003c\/p\u003e \u003cp\u003eThe Cobb–Douglas Utility Function 97\u003c\/p\u003e \u003cp\u003eQuasilinear Utility Functions 98\u003c\/p\u003e \u003cp\u003e3.4 Behavioral Aspects of Choice 100\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLearning-By-Doing-Exercises\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e3.1 Marginal Utility 86\u003c\/p\u003e \u003cp\u003e3.2 Marginal Utility That is Not Diminishing 86\u003c\/p\u003e \u003cp\u003e3.3 Indifference Curves with Diminishing \u003ci\u003eMRSx,Y \u003c\/i\u003e93\u003c\/p\u003e \u003cp\u003e3.4 Indifference Curves with Increasing \u003ci\u003eMRSx,Y \u003c\/i\u003e94\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 4 Consumer Choice 109\u003cbr\u003e\u003c\/b\u003eHow Much of What You Like Should You Buy?\u003c\/p\u003e \u003cp\u003e4.1 The Budget Constraint 111\u003c\/p\u003e \u003cp\u003eHow Does a Change in Income Affect the Budget Line? 113\u003c\/p\u003e \u003cp\u003eHow Does a Change in Price Affect the Budget Line? 113\u003c\/p\u003e \u003cp\u003e4.2 Optimal Choice 116\u003c\/p\u003e \u003cp\u003eUsing the Tangency Condition to Understand When a Basket is \u003ci\u003eNot \u003c\/i\u003eOptimal 120\u003c\/p\u003e \u003cp\u003eFinding an Optimal Consumption Basket 121\u003c\/p\u003e \u003cp\u003eTwo Ways of Thinking About Optimality 122\u003c\/p\u003e \u003cp\u003eCorner Points 124\u003c\/p\u003e \u003cp\u003e4.3 Consumer Choice with Composite Goods 127\u003c\/p\u003e \u003cp\u003eApplication: Coupons and Cash Subsidies 127\u003c\/p\u003e \u003cp\u003eApplication: Joining a Club 131\u003c\/p\u003e \u003cp\u003eApplication: Borrowing and Lending 132\u003c\/p\u003e \u003cp\u003eApplication: Quantity Discounts 137\u003c\/p\u003e \u003cp\u003e4.4 Revealed Preference 138\u003c\/p\u003e \u003cp\u003eAre Observed Choices Consistent with Utility Maximization? 139\u003c\/p\u003e \u003cp\u003e4.5 Maximizing Utility Using Lagrange Multipliers 144\u003c\/p\u003e \u003cp\u003eAppendix The Time Value of Money 157\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLearning-By-Doing-Exercises\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e4.1 Good News\/Bad News and the Budget Line 116\u003c\/p\u003e \u003cp\u003e4.2 Finding an Interior Optimum 121\u003c\/p\u003e \u003cp\u003e4.3 Finding a Corner Point Solution 125\u003c\/p\u003e \u003cp\u003e4.4 Corner Point Solution with Perfect Substitutes 126\u003c\/p\u003e \u003cp\u003e4.5 Consumer Choice That Fails to Maximize Utility 140\u003c\/p\u003e \u003cp\u003e4.6 Other Uses of Revealed Preference 142\u003c\/p\u003e \u003cp\u003e4.7 Finding an Interior Optimum Using the Method of Lagrange 148\u003c\/p\u003e \u003cp\u003e4.8 Finding a Corner Point Solution Using the Method of Lagrange 149\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 5 The Theory of Demand 163\u003cbr\u003e\u003c\/b\u003eWhy Understanding the Demand for Cigarettes is Important for Public Policy\u003c\/p\u003e \u003cp\u003e5.1 Optimal Choice and Demand 165\u003c\/p\u003e \u003cp\u003eThe Effects of a Change in Price 165\u003c\/p\u003e \u003cp\u003eThe Effects of a Change in Income 168\u003c\/p\u003e \u003cp\u003eThe Effects of a Change in Price or Income: An Algebraic Approach 173\u003c\/p\u003e \u003cp\u003e5.2 Change in the Price of a Good: Substitution Effect and Income Effect 175\u003c\/p\u003e \u003cp\u003eThe Substitution Effect 176\u003c\/p\u003e \u003cp\u003eThe Income Effect 176\u003c\/p\u003e \u003cp\u003eIncome and Substitution Effects When Goods Are Not Normal 178\u003c\/p\u003e \u003cp\u003e5.3 Change in the Price of a Good: The Concept of Consumer Surplus 186\u003c\/p\u003e \u003cp\u003eUnderstanding Consumer Surplus from the Demand Curve 186\u003c\/p\u003e \u003cp\u003eUnderstanding Consumer Surplus from the Optimal Choice Diagram: Compensating Variation and Equivalent Variation 188\u003c\/p\u003e \u003cp\u003e5.4 Market Demand 195\u003c\/p\u003e \u003cp\u003eMarket Demand with Network Externalities 197\u003c\/p\u003e \u003cp\u003e5.5 The Choice of Labor and Leisure 200\u003c\/p\u003e \u003cp\u003eAs Wages Rise, Leisure First Decreases, then Increases 200\u003c\/p\u003e \u003cp\u003eThe Backward-Bending Supply of Labor 202\u003c\/p\u003e \u003cp\u003e5.6 Consumer Price Indices 206\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLearning-By-Doing-Exercises\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e5.1 A Normal Good Has a Positive Income Elasticity of Demand 172\u003c\/p\u003e \u003cp\u003e5.2 Finding a Demand Curve (No Corner Points) 173\u003c\/p\u003e \u003cp\u003e5.3 Finding a Demand Curve (with a Corner Point Solution) 174\u003c\/p\u003e \u003cp\u003e5.4 Finding Income and Substitution Effects Algebraically 181\u003c\/p\u003e \u003cp\u003e5.5 Income and Substitution Effects with a Price Increase 183\u003c\/p\u003e \u003cp\u003e5.6 Income and Substitution Effects with a Quasilinear Utility Function 184\u003c\/p\u003e \u003cp\u003e5.7 Consumer Surplus: Looking at the Demand Curve 187\u003c\/p\u003e \u003cp\u003e5.8 Compensating and Equivalent Variations with No Income Effect 191\u003c\/p\u003e \u003cp\u003e5.9 Compensating and Equivalent Variations with an Income Effect 193\u003c\/p\u003e \u003cp\u003e5.10 The Demand for Leisure and the Supply of Labor 204\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart 3 Production and Cost Theory\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 6 Inputs and Production Functions 216\u003cbr\u003e\u003c\/b\u003eCan They Do It Better and Cheaper?\u003c\/p\u003e \u003cp\u003e6.1 Introduction to Inputs and Production Functions 218\u003c\/p\u003e \u003cp\u003e6.2 Production Functions with a Single Input 220\u003c\/p\u003e \u003cp\u003eTotal Product Functions 221\u003c\/p\u003e \u003cp\u003eMarginal and Average Product 222\u003c\/p\u003e \u003cp\u003eRelationship Between Marginal and Average Product 226\u003c\/p\u003e \u003cp\u003e6.3 Production Functions with More Than One Input 227\u003c\/p\u003e \u003cp\u003eTotal Product and Marginal Product with Two Inputs 227\u003c\/p\u003e \u003cp\u003eIsoquants 229\u003c\/p\u003e \u003cp\u003eEconomic and Uneconomic Regions of Production 233\u003c\/p\u003e \u003cp\u003eMarginal Rate of Technical Substitution 233\u003c\/p\u003e \u003cp\u003e6.4 Substitutability Among Inputs 236\u003c\/p\u003e \u003cp\u003eDescribing a Firm’s Input Substitution Opportunities Graphically 237\u003c\/p\u003e \u003cp\u003eElasticity of Substitution 239\u003c\/p\u003e \u003cp\u003eSpecial Production Functions 242\u003c\/p\u003e \u003cp\u003e6.5 Returns to Scale 248\u003c\/p\u003e \u003cp\u003eDefinitions 248\u003c\/p\u003e \u003cp\u003eReturns to Scale Versus Diminishing Marginal Returns 251\u003c\/p\u003e \u003cp\u003e6.6 Technological Progress 251\u003c\/p\u003e \u003cp\u003eAppendix The Elasticity of Substitution for a Cobb–Douglas Production Function 261\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLearning-By-Doing-Exercises\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e6.1 Deriving the Equation of an Isoquant 232\u003c\/p\u003e \u003cp\u003e6.2 Relating the Marginal Rate of Technical Substitution to Marginal Products 236\u003c\/p\u003e \u003cp\u003e6.3 Calculating the Elasticity of Substitution from a Production Function 240\u003c\/p\u003e \u003cp\u003e6.4 Returns to Scale for a Cobb–Douglas Production Function 250\u003c\/p\u003e \u003cp\u003e6.5 Technological Progress 253\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 7 Costs and Cost Minimization 263\u003cbr\u003e\u003c\/b\u003eWhat’s Behind the Self-Service Revolution?\u003c\/p\u003e \u003cp\u003e7.1 Cost Concepts for Decision Making 265\u003c\/p\u003e \u003cp\u003eOpportunity Cost 266\u003c\/p\u003e \u003cp\u003eEconomic versus Accounting Costs 269\u003c\/p\u003e \u003cp\u003eSunk (Unavoidable) versus Nonsunk (Avoidable) Costs 269\u003c\/p\u003e \u003cp\u003e7.2 The Cost-Minimization Problem 272\u003c\/p\u003e \u003cp\u003eLong Run versus Short Run 272\u003c\/p\u003e \u003cp\u003eThe Long-Run Cost-Minimization Problem 272\u003c\/p\u003e \u003cp\u003eIsocost Lines 273\u003c\/p\u003e \u003cp\u003eGraphical Characterization of the Solution to the Long-Run Cost-Minimization Problem 274\u003c\/p\u003e \u003cp\u003eCorner Point Solutions 277\u003c\/p\u003e \u003cp\u003e7.3 Comparative Statics Analysis of the Cost-Minimization Problem 278\u003c\/p\u003e \u003cp\u003eComparative Statics Analysis of Changes in Input Prices 278\u003c\/p\u003e \u003cp\u003eComparative Statics Analysis of Changes in Output 282\u003c\/p\u003e \u003cp\u003eSummarizing the Comparative Statics Analysis: The Input Demand Curves 283\u003c\/p\u003e \u003cp\u003eThe Price Elasticity of Demand for Inputs 285\u003c\/p\u003e \u003cp\u003e7.4 Short-Run Cost Minimization 289\u003c\/p\u003e \u003cp\u003eCharacterizing Costs in the Short Run 289\u003c\/p\u003e \u003cp\u003eCost Minimization in the Short Run 291\u003c\/p\u003e \u003cp\u003eComparative Statics: Short-Run Input Demand versus Long-Run Input Demand 292\u003c\/p\u003e \u003cp\u003eMore Than One Variable Input in the Short Run 293\u003c\/p\u003e \u003cp\u003e7.5 Minimizing Long-Run Costs Using Lagrange Multipliers 295\u003c\/p\u003e \u003cp\u003eAppendix Advanced Topics in Cost Minimization 307\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLearning-By-Doing-Exercises\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e7.1 Using the Cost Concepts for a College Campus Business 270\u003c\/p\u003e \u003cp\u003e7.2 Finding an Interior Cost-Minimization Optimum 276\u003c\/p\u003e \u003cp\u003e7.3 Finding a Corner Point Solution with Perfect Substitutes 277\u003c\/p\u003e \u003cp\u003e7.4 Deriving the Input Demand Curves from a Production Function 285\u003c\/p\u003e \u003cp\u003e7.5 Short-Run Cost Minimization with One Fixed Input 293\u003c\/p\u003e \u003cp\u003e7.6 Short-Run Cost Minimization with Two Variable Inputs 294\u003c\/p\u003e \u003cp\u003e7.7 Finding an Interior Optimum Using the Method of Lagrange 299\u003c\/p\u003e \u003cp\u003e7.8 Finding a Corner Point Solution Using the Method of Lagrange 300\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 8 Cost Curves 310\u003cbr\u003e\u003c\/b\u003eHow Can Hisense Get a Handle on Costs?\u003c\/p\u003e \u003cp\u003e8.1 Long-Run Cost Curves 312\u003c\/p\u003e \u003cp\u003eLong-Run Total Cost Curve 312\u003c\/p\u003e \u003cp\u003eHow Does the Long-Run Total Cost Curve Shift When Input Prices Change? 314\u003c\/p\u003e \u003cp\u003eLong-Run Average and Marginal Cost Curves 316\u003c\/p\u003e \u003cp\u003e8.2 Short-Run Cost Curves 328\u003c\/p\u003e \u003cp\u003eShort-Run Total Cost Curve 328\u003c\/p\u003e \u003cp\u003eRelationship Between the Long-Run and the Short-Run Total Cost Curves 328\u003c\/p\u003e \u003cp\u003eShort-Run Average and Marginal Cost Curves 331\u003c\/p\u003e \u003cp\u003eRelationships Between the Long-Run and the Short-Run Average and Marginal Cost Curves 332\u003c\/p\u003e \u003cp\u003eWhen Are Long-Run and Short-Run Average and Marginal Costs Equal, and When Are They Not? 333\u003c\/p\u003e \u003cp\u003e8.3 Special Topics in Cost 336\u003c\/p\u003e \u003cp\u003eEconomies of Scope 336\u003c\/p\u003e \u003cp\u003eEconomies of Experience: The Experience Curve 340\u003c\/p\u003e \u003cp\u003e8.4 Estimating Cost Functions 343\u003c\/p\u003e \u003cp\u003eConstant Elasticity Cost Function 343\u003c\/p\u003e \u003cp\u003eTranslog Cost Function 343\u003c\/p\u003e \u003cp\u003eAppendix Shephard’s Lemma and Duality 350\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLearning-By-Doing-Exercises\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e8.1 Finding the Long-Run Total Cost Curve from a Production Function 314\u003c\/p\u003e \u003cp\u003e8.2 Deriving Long-Run Average and Marginal Cost Curves from a Long-Run Total Cost Curve 319\u003c\/p\u003e \u003cp\u003e8.3 Deriving a Short-Run Total Cost Curve 329\u003c\/p\u003e \u003cp\u003e8.4 The Relationship between Short-Run and Long-Run Average Cost Curves 334\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart 4 Perfect Competition\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 9 Perfectly Competitive Markets 354\u003cbr\u003e\u003c\/b\u003eA Rose is a Rose is a Rose\u003c\/p\u003e \u003cp\u003e9.1 What is Perfect Competition? 357\u003c\/p\u003e \u003cp\u003e9.2 Profit Maximization by a Price-Taking Firm 359\u003c\/p\u003e \u003cp\u003eEconomic Profit versus Accounting Profit 359\u003c\/p\u003e \u003cp\u003eThe Profit-Maximizing Output Choice for a Price-Taking Firm 361\u003c\/p\u003e \u003cp\u003e9.3 How the Market Price is Determined: Short-Run Equilibrium 364\u003c\/p\u003e \u003cp\u003eThe Price-Taking Firm’s Short-Run Cost Structure 364\u003c\/p\u003e \u003cp\u003eShort-Run Supply Curve for a Price-Taking Firm When All Fixed Costs Are Sunk 366\u003c\/p\u003e \u003cp\u003eShort-Run Supply Curve for a Price-Taking Firm When Some Fixed Costs Are Sunk and Some Are Nonsunk 368\u003c\/p\u003e \u003cp\u003eShort-Run Market Supply Curve 372\u003c\/p\u003e \u003cp\u003eShort-Run Perfectly Competitive Equilibrium 375\u003c\/p\u003e \u003cp\u003eComparative Statics Analysis of the Short-Run Equilibrium 376\u003c\/p\u003e \u003cp\u003e9.4 How the Market Price is Determined: Long-Run Equilibrium 382\u003c\/p\u003e \u003cp\u003eLong-Run Output and Plant-Size Adjustments by Established Firms 382\u003c\/p\u003e \u003cp\u003eThe Firm’s Long-Run Supply Curve 383\u003c\/p\u003e \u003cp\u003eFree Entry and Long-Run Perfectly Competitive Equilibrium 384\u003c\/p\u003e \u003cp\u003eLong-Run Market Supply Curve 386\u003c\/p\u003e \u003cp\u003eConstant-Cost, Increasing-Cost, and Decreasing-Cost Industries 387\u003c\/p\u003e \u003cp\u003eWhat Does the Theory of Perfect Competition Teach Us? 395\u003c\/p\u003e \u003cp\u003e9.5 Economic Rent and Producer Surplus 396\u003c\/p\u003e \u003cp\u003eEconomic Rent 396\u003c\/p\u003e \u003cp\u003eProducer Surplus 399\u003c\/p\u003e \u003cp\u003eEconomic Profit, Producer Surplus, Economic Rent 405\u003c\/p\u003e \u003cp\u003eAppendix Profit Maximization Implies Cost Minimization 413\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLearning-By-Doing-Exercises\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e9.1 Deriving the Short-Run Supply Curve for a Price-Taking Firm 368\u003c\/p\u003e \u003cp\u003e9.2 Deriving the Short-Run Supply Curve for a Price-Taking Firm with Some Nonsunk Fixed Costs 370\u003c\/p\u003e \u003cp\u003e9.3 Short-Run Market Equilibrium 376\u003c\/p\u003e \u003cp\u003e9.4 Calculating a Long-Run Equilibrium 385\u003c\/p\u003e \u003cp\u003e9.5 Calculating Producer Surplus 404\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 10 Competitive Markets: Applications 415\u003cbr\u003e\u003c\/b\u003eIs Support a Good Thing?\u003c\/p\u003e \u003cp\u003e10.1 The Invisible Hand, Excise Taxes, and Subsidies 417\u003c\/p\u003e \u003cp\u003eThe Invisible Hand 418\u003c\/p\u003e \u003cp\u003eExcise Taxes 419\u003c\/p\u003e \u003cp\u003eIncidence of a Tax 423\u003c\/p\u003e \u003cp\u003eSubsidies 427\u003c\/p\u003e \u003cp\u003e10.2 Price Ceilings and Floors 429\u003c\/p\u003e \u003cp\u003ePrice Ceilings 430\u003c\/p\u003e \u003cp\u003ePrice Floors 438\u003c\/p\u003e \u003cp\u003e10.3 Production Quotas 443\u003c\/p\u003e \u003cp\u003e10.4 Price Supports in the Agricultural Sector 447\u003c\/p\u003e \u003cp\u003eAcreage Limitation Programs 447\u003c\/p\u003e \u003cp\u003eGovernment Purchase Programs 449\u003c\/p\u003e \u003cp\u003e10.5 Import Quotas and Tariffs 451\u003c\/p\u003e \u003cp\u003eQuotas 451\u003c\/p\u003e \u003cp\u003eTariffs 455\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLearning-By-Doing-Exercises\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e10.1 Impact of an Excise Tax 422\u003c\/p\u003e \u003cp\u003e10.2 Impact of a Subsidy 429\u003c\/p\u003e \u003cp\u003e10.3 Impact of a Price Ceiling 436\u003c\/p\u003e \u003cp\u003e10.4 Impact of a Price Floor 441\u003c\/p\u003e \u003cp\u003e10.5 Comparing the Impact of an Excise Tax, a Price Floor, and a Production Quota 446\u003c\/p\u003e \u003cp\u003e10.6 Effects of an Import Tariff 458\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart 5 Market Power\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 11 Monopoly and Monopsony 468\u003cbr\u003e\u003c\/b\u003eWhy Do Firms Play Monopoly?\u003c\/p\u003e \u003cp\u003e11.1 Profit Maximization by a Monopolist 470\u003c\/p\u003e \u003cp\u003eThe Profit-Maximization Condition 470\u003c\/p\u003e \u003cp\u003eA Closer Look at Marginal Revenue: Marginal Units and Inframarginal Units 474\u003c\/p\u003e \u003cp\u003eAverage Revenue and Marginal Revenue 475\u003c\/p\u003e \u003cp\u003eThe Profit-Maximization Condition Shown Graphically 477\u003c\/p\u003e \u003cp\u003eA Monopolist Does Not Have A Supply Curve 479\u003c\/p\u003e \u003cp\u003e11.2 The Importance of Price Elasticity of Demand 480\u003c\/p\u003e \u003cp\u003ePrice Elasticity of Demand and the Profit-Maximizing Price 480\u003c\/p\u003e \u003cp\u003eMarginal Revenue and Price Elasticity of Demand 481\u003c\/p\u003e \u003cp\u003eMarginal Cost and Price Elasticity of Demand: The Inverse Elasticity Pricing Rule 483\u003c\/p\u003e \u003cp\u003eThe Monopolist Always Produces on the Elastic Region of the Market Demand Curve 484\u003c\/p\u003e \u003cp\u003eThe IEPR Applies not Only to Monopolists 486\u003c\/p\u003e \u003cp\u003eQuantifying Market Power: The Lerner Index 487\u003c\/p\u003e \u003cp\u003e11.3 Comparative Statics for Monopolists 488\u003c\/p\u003e \u003cp\u003eShifts in Market Demand 488\u003c\/p\u003e \u003cp\u003eShifts in Marginal Cost 491\u003c\/p\u003e \u003cp\u003e11.4 Monopoly with Multiple Plants and Markets 493\u003c\/p\u003e \u003cp\u003eOutput Choice with two Plants 494\u003c\/p\u003e \u003cp\u003eOutput Choice with two Markets 495\u003c\/p\u003e \u003cp\u003eProfit Maximization by a Cartel 496\u003c\/p\u003e \u003cp\u003e11.5 The Welfare Economics of Monopoly 499\u003c\/p\u003e \u003cp\u003eThe Monopoly Equilibrium Differs from the Perfectly Competitive Equilibrium 499\u003c\/p\u003e \u003cp\u003eMonopoly Deadweight Loss 501\u003c\/p\u003e \u003cp\u003eRent-Seeking Activities 501\u003c\/p\u003e \u003cp\u003e11.6 Why Do Monopoly Markets Exist? 501\u003c\/p\u003e \u003cp\u003eNatural Monopoly 502\u003c\/p\u003e \u003cp\u003eBarriers to Entry 503\u003c\/p\u003e \u003cp\u003e11.7 Monopsony 505\u003c\/p\u003e \u003cp\u003eThe Monopsonist’s Profit-Maximization Condition 505\u003c\/p\u003e \u003cp\u003eAn Inverse Elasticity Pricing Rule for Monopsony 507\u003c\/p\u003e \u003cp\u003eMonopsony Deadweight Loss 508\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLearning-By-Doing-Exercises\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e11.1 Marginal and Average Revenue for a Linear Demand Curve 477\u003c\/p\u003e \u003cp\u003e11.2 Applying the Monopolist’s Profit-Maximization Condition 479\u003c\/p\u003e \u003cp\u003e11.3 Computing the Optimal Monopoly Price for a Constant Elasticity Demand Curve 483\u003c\/p\u003e \u003cp\u003e11.4 Computing the Optimal Monopoly Price for a Linear Demand Curve 484\u003c\/p\u003e \u003cp\u003e11.5 Computing the Optimal Price Using the Monopoly Midpoint Rule 490\u003c\/p\u003e \u003cp\u003e11.6 Determining the Optimal Output, Price, and Division of Production for a Multiplant Monopolist 495\u003c\/p\u003e \u003cp\u003e11.7 Determining the Optimal Output and Price for a Monopolist Serving Two Markets 496\u003c\/p\u003e \u003cp\u003e11.8 Applying the Monopsonist’s Profit-Maximization Condition 507\u003c\/p\u003e \u003cp\u003e11.9 Applying the Inverse Elasticity Rule for a Monopsonist 508\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 12 Capturing Surplus 515\u003cbr\u003e\u003c\/b\u003eWhy Did Your Carpet or Your Airline Ticket Cost So Much Less Than Mine?\u003c\/p\u003e \u003cp\u003e12.1 Capturing Surplus 517\u003c\/p\u003e \u003cp\u003e12.2 First-Degree Price Discrimination: Making the Most from Each Consumer 520\u003c\/p\u003e \u003cp\u003e12.3 Second-Degree Price Discrimination: Quantity Discounts 525\u003c\/p\u003e \u003cp\u003eBlock Pricing 525\u003c\/p\u003e \u003cp\u003eSubscription and Usage Charges 528\u003c\/p\u003e \u003cp\u003e12.4 Third-Degree Price Discrimination: Different Prices for Different Market Segments 531\u003c\/p\u003e \u003cp\u003eTwo Different Segments, Two Different Prices 531\u003c\/p\u003e \u003cp\u003eScreening 534\u003c\/p\u003e \u003cp\u003eThird-Degree Price Discrimination with Capacity Constraints 536\u003c\/p\u003e \u003cp\u003eImplementing the Scheme of Price Discrimination: Building “Fences” 538\u003c\/p\u003e \u003cp\u003e12.5 Tying (Tie-In Sales) 543\u003c\/p\u003e \u003cp\u003eBundling 544\u003c\/p\u003e \u003cp\u003eMixed Bundling 546\u003c\/p\u003e \u003cp\u003e12.6 Advertising 548\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLearning-By-Doing-Exercises\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e12.1 Capturing Surplus: Uniform Pricing versus First-Degree Price Discrimination 522\u003c\/p\u003e \u003cp\u003e12.2 Where is the Marginal Revenue Curve with First-Degree Price Discrimination? 523\u003c\/p\u003e \u003cp\u003e12.3 Increasing Profits with a Block Tariff 527\u003c\/p\u003e \u003cp\u003e12.4 Third-Degree Price Discrimination in Railroad Transport 533\u003c\/p\u003e \u003cp\u003e12.5 Third-Degree Price Discrimination for Airline Tickets 535\u003c\/p\u003e \u003cp\u003e12.6 Price Discrimination Subject to Capacity Constraints 537\u003c\/p\u003e \u003cp\u003e12.7 Markup and Advertising-to-Sales Ratio 551\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart 6 Imperfect Competition and Strategic Behavior\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 13 Market Structure and Competition 558\u003cbr\u003e\u003c\/b\u003eIs Competition Always the Same? If Not, Why Not?\u003c\/p\u003e \u003cp\u003e13.1 Describing and Measuring Market Structure 560\u003c\/p\u003e \u003cp\u003e13.2 Oligopoly with Homogeneous Products 563\u003c\/p\u003e \u003cp\u003eThe Cournot Model of Oligopoly 563\u003c\/p\u003e \u003cp\u003eCournot Equilibrium and the IEPR 571\u003c\/p\u003e \u003cp\u003eThe Bertrand Model of Oligopoly 571\u003c\/p\u003e \u003cp\u003eWhy are the Cournot and Bertrand Equilibria Different? 573\u003c\/p\u003e \u003cp\u003eThe Stackelberg Model of Oligopoly 574\u003c\/p\u003e \u003cp\u003e13.3 Dominant Firm Markets 576\u003c\/p\u003e \u003cp\u003e13.4 Oligopoly with Horizontally Differentiated Products 579\u003c\/p\u003e \u003cp\u003eWhat is Product Differentiation? 579\u003c\/p\u003e \u003cp\u003eBertrand Price Competition with Horizontally Differentiated Products 582\u003c\/p\u003e \u003cp\u003e13.5 Monopolistic Competition 588\u003c\/p\u003e \u003cp\u003eShort-Run and Long-Run Equilibrium in Monopolistically Competitive Markets 588\u003c\/p\u003e \u003cp\u003ePrice Elasticity of Demand, Margins, and Number of Firms in the Market 590\u003c\/p\u003e \u003cp\u003eDo Prices Fall When More Firms Enter? 590\u003c\/p\u003e \u003cp\u003eAppendix The Cournot Equilibrium and the Inverse Elasticity Pricing Rule 600\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLearning-By-Doing-Exercises\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e13.1 Computing a Cournot Equilibrium 566\u003c\/p\u003e \u003cp\u003e13.2 Computing the Cournot Equilibrium for Two or More Firms with Linear Demand 570\u003c\/p\u003e \u003cp\u003e13.3 Computing the Equilibrium in the Dominant Firm Model 578\u003c\/p\u003e \u003cp\u003e13.4 Computing a Bertrand Equilibrium with Horizontally Differentiated Products 586\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 14 Game Theory and Strategic Behavior 601\u003cbr\u003e\u003c\/b\u003eWhat’s in a Game?\u003c\/p\u003e \u003cp\u003e14.1 The Concept of Nash Equilibrium 603\u003c\/p\u003e \u003cp\u003eA Simple Game 603\u003c\/p\u003e \u003cp\u003eThe Nash Equilibrium 604\u003c\/p\u003e \u003cp\u003eThe Prisoners’ Dilemma 604\u003c\/p\u003e \u003cp\u003eDominant and Dominated Strategies 605\u003c\/p\u003e \u003cp\u003eGames with more Than One Nash Equilibrium 609\u003c\/p\u003e \u003cp\u003eMixed Strategies 615\u003c\/p\u003e \u003cp\u003eSummary: How to Find All the Nash Equilibria in a Simultaneous-Move Game with Two Players 616\u003c\/p\u003e \u003cp\u003e14.2 The Repeated Prisoners’ Dilemma 617\u003c\/p\u003e \u003cp\u003e14.3 Sequential-Move Games and Strategic Moves 622\u003c\/p\u003e \u003cp\u003eAnalyzing Sequential-Move Games 623\u003c\/p\u003e \u003cp\u003eThe Strategic Value of Limiting One’s Options 624\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLearning-By-Doing-Exercises\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e14.1 Finding the Nash Equilibrium: Coke versus Pepsi 608\u003c\/p\u003e \u003cp\u003e14.2 Finding All of the Nash Equilibria in a Game 612\u003c\/p\u003e \u003cp\u003e14.3 An Entry Game 625\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 15 Risk and Information 637\u003cbr\u003e\u003c\/b\u003eRisky Business?\u003c\/p\u003e \u003cp\u003e15.1 Describing Risky Outcomes 639\u003c\/p\u003e \u003cp\u003eLotteries and Probabilities 639\u003c\/p\u003e \u003cp\u003eExpected Value 641\u003c\/p\u003e \u003cp\u003eVariance 641\u003c\/p\u003e \u003cp\u003e15.2 Evaluating Risky Outcomes 644\u003c\/p\u003e \u003cp\u003eUtility Functions and Risk Preferences 644\u003c\/p\u003e \u003cp\u003eRisk-Neutral and Risk-Loving Preferences 647\u003c\/p\u003e \u003cp\u003e15.3 Bearing and Eliminating Risk 650\u003c\/p\u003e \u003cp\u003eRisk Premium 650\u003c\/p\u003e \u003cp\u003eWhen Would a Risk-Averse Person Choose to Eliminate Risk? the Demand for Insurance 653\u003c\/p\u003e \u003cp\u003eAsymmetric Information: Moral Hazard and Adverse Selection 656\u003c\/p\u003e \u003cp\u003eProspect Theory and Loss Aversion: An Alternative to Expected Utility Theory 662\u003c\/p\u003e \u003cp\u003e15.4 Analyzing Risky Decisions 665\u003c\/p\u003e \u003cp\u003eDecision Tree Basics 665\u003c\/p\u003e \u003cp\u003eDecision Trees with a Sequence of Decisions 668\u003c\/p\u003e \u003cp\u003eThe Value of Information 670\u003c\/p\u003e \u003cp\u003e15.5 Auctions 672\u003c\/p\u003e \u003cp\u003eTypes of Auctions and Bidding Environments 672\u003c\/p\u003e \u003cp\u003eAuctions When Bidders Have Private Values 673\u003c\/p\u003e \u003cp\u003eAuctions When Bidders Have Common Values: The Winner’s Curse 677\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLearning-By-Doing-Exercises\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e15.1 Computing the Expected Utility for Two Lotteries for a Risk-Averse Decision Maker 647\u003c\/p\u003e \u003cp\u003e15.2 Computing the Expected Utility for Two Lotteries: Risk-Neutral and Risk-Loving Decision Makers 649\u003c\/p\u003e \u003cp\u003e15.3 Computing the Risk Premium from a Utility Function 653\u003c\/p\u003e \u003cp\u003e15.4 The Willingness to Pay for Insurance 654\u003c\/p\u003e \u003cp\u003e15.5 Verifying the Nash Equilibrium in a First-Price Sealed-Bid Auction with Private Values 675\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 16 General Equilibrium Theory 686\u003cbr\u003e\u003c\/b\u003eHow Do Gasoline Taxes Affect the Economy?\u003c\/p\u003e \u003cp\u003e16.1 General Equilibrium Analysis: Two Markets 688\u003c\/p\u003e \u003cp\u003e16.2 General Equilibrium Analysis: Many Markets 692\u003c\/p\u003e \u003cp\u003eThe Origins of Supply and Demand in a Simple Economy 692\u003c\/p\u003e \u003cp\u003eThe General Equilibrium in Our Simple Economy 698\u003c\/p\u003e \u003cp\u003eWalras’ Law 702\u003c\/p\u003e \u003cp\u003e16.3 General Equilibrium Analysis: Comparative Statics 703\u003c\/p\u003e \u003cp\u003e16.4 The Efficiency of Competitive Markets 707\u003c\/p\u003e \u003cp\u003eWhat is Economic Efficiency? 707\u003c\/p\u003e \u003cp\u003eExchange Efficiency 708\u003c\/p\u003e \u003cp\u003eInput Efficiency 714\u003c\/p\u003e \u003cp\u003eSubstitution Efficiency 716\u003c\/p\u003e \u003cp\u003eDoes the General Competitive Equilibrium Satisfy Substitution Efficiency? 717\u003c\/p\u003e \u003cp\u003ePulling the Analysis Together: The Fundamental Theorems of Welfare Economics 719\u003c\/p\u003e \u003cp\u003e16.5 Gains From Free Trade 720\u003c\/p\u003e \u003cp\u003eFree Trade is Mutually Beneficial 720\u003c\/p\u003e \u003cp\u003eComparative Advantage 724\u003c\/p\u003e \u003cp\u003eAppendix Deriving the Demand and Supply Curves for the General Equilibrium in Figure 16.10 and Learning-By-Doing Exercises 16.2 730\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLearning-By-Doing-Exercises\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e16.1 Finding the Prices at a General Equilibrium with Two Markets 692\u003c\/p\u003e \u003cp\u003e16.2 Finding the Conditions for a General Equilibrium with Four Markets 701\u003c\/p\u003e \u003cp\u003e16.3 Checking the Conditions for Exchange Efficiency 712\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 17 Externalities and Public Goods 736\u003cbr\u003e\u003c\/b\u003eWhen Does the Invisible Hand Fail?\u003c\/p\u003e \u003cp\u003e17.1 Introduction 738\u003c\/p\u003e \u003cp\u003e17.2 Externalities 740\u003c\/p\u003e \u003cp\u003eNegative Externalities and Economic Efficiency 742\u003c\/p\u003e \u003cp\u003ePositive Externalities and Economic Efficiency 756\u003c\/p\u003e \u003cp\u003eProperty Rights and the Coase Theorem 760\u003c\/p\u003e \u003cp\u003e17.3 Public Goods 762\u003c\/p\u003e \u003cp\u003eEfficient Provision of a Public Good 763\u003c\/p\u003e \u003cp\u003eThe Free-Rider Problem 766\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLearning-By-Doing-Exercises\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e17.1 The Efficient Amount of Pollution 745\u003c\/p\u003e \u003cp\u003e17.2 Emissions Fee 748\u003c\/p\u003e \u003cp\u003e17.3 The Coase Theorem 761\u003c\/p\u003e \u003cp\u003e17.4 Optimal Provision of a Public Good 765\u003c\/p\u003e \u003cp\u003eMathematical Appendix A-1\u003c\/p\u003e \u003cp\u003eSolutions to Selected Problems S-1\u003c\/p\u003e \u003cp\u003eGlossary G-1\u003c\/p\u003e \u003cp\u003eIndex I-1\u003c\/p\u003e","brand":"Wiley","offers":[{"title":"Default Title","offer_id":47989620343013,"sku":"NP9781119554844","price":107.5,"currency_code":"USD","in_stock":false}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/1842\/7735\/files\/9781119554844.jpg?v=1761784839","url":"https:\/\/k12savings.com\/products\/microeconomics-isbn-9781119554844","provider":"K12savings","version":"1.0","type":"link"}