firms prices and markets

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1、TimothyVanZandtCopyrightAugust2006.TableofContentsMathReview1M.1Whatmath?...................................1M.2Functions....................................1M.3Graphs......................................3M.4Inverseofafunction.........................

2、.....4M.5Theinverseofalinearfunction.........................6M.6Somenonlinearfunctions...........................7M.7Slopeofalinearfunction............................8M.8Slopeofanonlinearfunction..........................9PreliminariesAnalyticMethods

3、forManagerialDecisionMaking11P.1Motivesandobjectives.............................11P.2Theeconomist’snotionofmodels.......................12P.3Smoothapproximations............................14P.4Decompositionofdecisionproblems.....................14P.5

4、Marginalanalysis................................16P.6Themathematicsofmarginalanalysis.....................20P.7Wrap-up.....................................241GainsfromTrade251.1Motivesandobjectives.............................251.2Efficiency.............

5、.......................261.3Valuation,cost,andsurplus..........................271.4Onebuyerandoneseller............................281.5Manybuyersandmanysellers.........................281.6Verymanybuyersandverymanysellers...................331.7Sourc

6、esofgainsfromtrade..........................341.8Wrap-up.....................................352Supply,Demand,andMarkets372.1Motivesandobjectives.............................372.2Bargaining:Onebuyerandoneseller.....................382.3Manybuyersandman

7、ysellers:Equilibrium..................392.4Demandandsupply:Graphicalanalysis....................402.5Consumerandproducersurplus........................422.6Gainsfromtradeinequilibrium........................452.7Taxesontransactions.....................

8、.........462.8Wrap-up.....................................50AdditionalExercises..................................51Firms,Prices,andMarkets©August2006TimothyVanZandtiiFirms,Prices,andMarkets3ConsumerChoiceandDemand553.1Motivesandobjectiv