Change in Quantity Supplied Vs. Change in Supply Explained for SHS 2 Economics (Sem. 1 – Week 12) Two supply graphs can look similar, yet represent very different economic events. The difference comes down to one question: What caused the change? When Price Is the Cause Suppose the price of a commodity changes while other…
ECONOMICS SHS 2 SEMESTER 1 WEEK 12 Change in Quantity Supplied Vs. Change in Supply 1. The Key Question When the quantity producers supply changes, the first question to ask is: What caused the change? If the price of the commodity itself changes, there is a change in quantity supplied. If a factor other than…
Supply: Price, Quantity Supplied and Other Factors Explained for SHS 2 Economics (Sem. 1 – Week 11) Why might producers offer more of a product for sale? Sometimes the answer is simply price. At other times, the reason lies elsewhere—in production costs, technology, the number of suppliers or government policy. Economics separates these situations because…
ECONOMICS SHS 2 SEMESTER 1 WEEK 11 Supply: Price, Quantity Supplied and Other Factors 1. What Is Supply? Supply refers to the total amount of a specific good or service that producers are willing and able to supply at different prices over a given period. The relationship between price and quantity supplied is represented by…
Total, Average and Marginal Revenue Curves Explained for SHS 2 Economics (Sem. 1 – Week 10) A table of revenue figures tells us what happens at different quantities. A graph allows us to see the pattern. This is the purpose of revenue curves: they turn TR, AR and MR data into relationships that can be…
ECONOMICS SHS 2 SEMESTER 1 WEEK 10 Total, Average and Marginal Revenue Curves 1. From Revenue to Revenue Curves Revenue can be studied not only through calculations but also through graphs. The three important curves are the Total Revenue (TR), Average Revenue (AR) and Marginal Revenue (MR) curves. Curve What it shows Vertical axis Horizontal…
Revenue: Concepts and Calculation of Total, Average and Marginal Revenue Explained for SHS 2 Economics (Sem. 1 – Week 9) When a business sells a product, the money received from those sales is its revenue. Understanding revenue allows us to move beyond simply asking how many products were sold and examine how much income those…
ECONOMICS SHS 2 SEMESTER 1 WEEK 9 Revenue: Concepts and Calculation of Total, Average and Marginal Revenue 1. What Is Revenue? Revenue is the total amount of money a business receives from customers for the goods and services it sells during a given period. It is also called sales or turnover. Revenue is different from…
Cost: Concepts, Calculations and Cost Curves Explained for SHS 2 Economics (Sem. 1 – Week 8) Every producer has to answer a simple but important question: how much does it cost to produce a given quantity of output? Economics answers this question by separating costs into different categories and then examining how those costs behave…
ECONOMICS SHS 2 SEMESTER 1 WEEK 8 Cost: Concepts, Calculations and Cost Curves 1. What Does Cost Mean? Cost is the monetary value spent by a firm or individual to produce goods or services. In production, understanding cost helps a firm determine how much it spends at different levels of output. 2. The Main Types…
