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…
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…
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…
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…
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…
ECONOMICS SHS 2 SEMESTER 1 WEEK 7 Time Periods, Product Measures and Methods of Production 1. Think About Production Imagine a firm wants to increase its output. Can it immediately increase the size of its factory, install new machinery and change every input? Not always. The answer depends on the time period available. 2. Short…
ECONOMICS SHS 2 SEMESTER 1 WEEK 6 Total, Marginal and Average Utility Curves Utility can be studied not only through calculations but also through graphs. Total Utility (TU), Marginal Utility (MU) and Average Utility (AU) curves show how consumer satisfaction changes as consumption increases. 1. Total Utility Curve Total Utility is the total satisfaction obtained…
ECONOMICS SHS 2 SEMESTER 1 WEEK 5 Consumer Equilibrium and Utility Consumers have limited income but many wants. Utility helps us understand how consumers allocate their resources to obtain satisfaction. 1. What Is Utility? Utility is the satisfaction, pleasure or benefit a consumer obtains from consuming goods and services. A theoretical unit used to express…
ECONOMICS SHS 2 SEMESTER 1 WEEK 4 Change in Quantity Demanded vs. Change in Demand Two ideas are easy to confuse in Economics: change in quantity demanded and change in demand. The difference depends mainly on what causes the change. 1. Change in Quantity Demanded A change in quantity demanded occurs when the price of…
ECONOMICS SHS 2 SEMESTER 1 WEEK 3 Factors Affecting Demand for a Commodity Demand does not depend on price alone. A change in the price of a commodity affects the quantity demanded, while changes in other demand factors can cause a change in demand. 1. Price and Quantity Demanded The law of demand states that,…
