Session 6: Law of Supply-Demand and Supply

Equilibrium-Consumer Equilibrium
Supply
• Quantity supplied
• Law of supply
• Supply schedule
• Supply curve
Supply schedule
Market Supply
Supply Curve
Variables -Supply
Equilibrium
• Equilibrium price
• Equilibrium quantity
• Surplus
Equilibrium
Market not in equilibrium
• Consumer surplus & Producer surplus
Equilibrium
Equilibrium
Equilibrium –
Demand curve Shift
Equilibrium –
Supply curve Shift
Equilibrium –
Demand & Supply
curve Shift
Demand &Supply
curve Shift
• Graph the demand and supply curves. What is the
equilibrium price and quantity in this market?
• If the actual price in this market were above the
equilibrium price, what would drive the market toward
the equilibrium?
• If the actual price in this market were below the
equilibrium price, what would drive the market toward
the equilibrium?
Assignment
• Petrol and diesel
• Pizza
• Milk
• Gold

Collect quantity demanded and quantity supplied in

India for above products [short run or long run
data]
Analyze it and make graphical representation with
description.
Upload your results in your moodle account
Session 4 & 5: Elasticity of
demand & Elasticity of supply
Price Elasticity of
Demand
Total Revenue
Total revenue & price
changes
Elasticity of a
Linear Demand
Curve
Price Elasticity of
Supply
Price Elasticity of Supply
Increase in Supply
CASE STUDY
Decreases
Supply
Increased
supply
THANK YOU