New User Special Price Expires in

Let's log you in.

Sign in with Facebook


Don't have a StudySoup account? Create one here!


Create a StudySoup account

Be part of our community, it's free to join!

Sign up with Facebook


Create your account
By creating an account you agree to StudySoup's terms and conditions and privacy policy

Already have a StudySoup account? Login here

ECON Notes for Week of 10/5

by: SophieSol

ECON Notes for Week of 10/5 ECON 1011

Marketplace > George Washington University > Economcs > ECON 1011 > ECON Notes for Week of 10 5
GPA 3.92
Principles of Economics I
Yezer, A

Almost Ready


These notes were just uploaded, and will be ready to view shortly.

Purchase these notes here, or revisit this page.

Either way, we'll remind you when they're ready :)

Preview These Notes for FREE

Get a free preview of these Notes, just enter your email below.

Unlock Preview
Unlock Preview

Preview these materials now for free

Why put in your email? Get access to more of this material and other relevant free materials for your school

View Preview

About this Document

Here are my notes for the week of 10/5!
Principles of Economics I
Yezer, A
Class Notes
25 ?




Popular in Principles of Economics I

Popular in Economcs

This 2 page Class Notes was uploaded by SophieSol on Sunday October 11, 2015. The Class Notes belongs to ECON 1011 at George Washington University taught by Yezer, A in Fall 2015. Since its upload, it has received 19 views. For similar materials see Principles of Economics I in Economcs at George Washington University.


Reviews for ECON Notes for Week of 10/5


Report this Material


What is Karma?


Karma is the currency of StudySoup.

You can buy or earn more Karma at anytime and redeem it for class notes, study guides, flashcards, and more!

Date Created: 10/11/15
Consumer s Surplus and marketing 0 Issue with free donuts o If something is x price it is worth at least that much 0 Total willingness to pay for donuts trapezoid sum of amount of donuts 14 are worth 5th one is worth less 0 Consumer surplus triange dozen donuts big trianglesum of the triangle plus rectangle Individual beers or a pitcher o Bene t of pitcher area of trapezoid 15 0 Cost of pitcher 15 so surplus is 0 o What they charged for beer total utility o Surplus for individual beers is 1 so buy this Ratio of Marginal Utility Marginal rate of substitution 0 le MRSapplesforgrapes MUGrapesMUapples 4 consumer values 1 pound grapes as 4 pounds of apples 0 The higher the MRS the greater the relative valuation of the good whose marginal utility numerator But this means you give up the denominator for the numerator 1 Ann buys 8 sheets for 9ea and 10 towels for 6ea Betty buys 6 sheets at 8ea and 9 towels for 4ea M UAnnsheetsM UAnntowels M U BettysheetsM U Bettytowels 2 0 Ann substitutes 15 towels for a sheet Betty substitutes 2 towels for a sheet 0 Betty has a higher marginal rate of substitution so she will give up towels because she values them less Open Bar Deal 0 Open bar price with a paid cover charge say 20 0 0 They drink until MUalcohol 0 0 Cash price gt 0 0 They drink until MUalcohol gt O MU falls when more is consumed 0 At an open bar you will have to drink more to make the price 0 Income Effect Consume meat and rice in equilibrium M UmeatM Urice PmPR M RSriceformeat 0 Price of meat falls so you must give up rice and raise meat 0 MRSriceformeat gt price ratio 0 Substitute meat for rice to lower MRS When price of meat falls everything becomes cheaper and you can buy more meat without giving up rice 0 In order for income effect to be large the product has to be a major thing you consume Labor Supply 0 Leisure something we consume 0 Price wage rate W o Wage rate rises MU of leisureprice of leisure falls 0 Leisure becomes more expensive so people will work more Income effect income increases and you want to consume more leisure Choice of city based on housefood prices Foodtown Increased house prices but lower food prices 0 Hometown Lower housing prices but increased food prices 0 Who will live where People with small families will live in Foodtown Large anorexic families will live in Hometown Why do gay men live in SF 0 They consume less housing 0 Wages will go down in cities that add a professional sports team Educated workers live in fast growing cities but they don t spend as much on housing so they accept lower relative wages to live in fast growing cities


Buy Material

Are you sure you want to buy this material for

25 Karma

Buy Material

BOOM! Enjoy Your Free Notes!

We've added these Notes to your profile, click here to view them now.


You're already Subscribed!

Looks like you've already subscribed to StudySoup, you won't need to purchase another subscription to get this material. To access this material simply click 'View Full Document'

Why people love StudySoup

Steve Martinelli UC Los Angeles

"There's no way I would have passed my Organic Chemistry class this semester without the notes and study guides I got from StudySoup."

Janice Dongeun University of Washington

"I used the money I made selling my notes & study guides to pay for spring break in Olympia, Washington...which was Sweet!"

Jim McGreen Ohio University

"Knowing I can count on the Elite Notetaker in my class allows me to focus on what the professor is saying instead of just scribbling notes the whole time and falling behind."

Parker Thompson 500 Startups

"It's a great way for students to improve their educational experience and it seemed like a product that everybody wants, so all the people participating are winning."

Become an Elite Notetaker and start selling your notes online!

Refund Policy


All subscriptions to StudySoup are paid in full at the time of subscribing. To change your credit card information or to cancel your subscription, go to "Edit Settings". All credit card information will be available there. If you should decide to cancel your subscription, it will continue to be valid until the next payment period, as all payments for the current period were made in advance. For special circumstances, please email


StudySoup has more than 1 million course-specific study resources to help students study smarter. If you’re having trouble finding what you’re looking for, our customer support team can help you find what you need! Feel free to contact them here:

Recurring Subscriptions: If you have canceled your recurring subscription on the day of renewal and have not downloaded any documents, you may request a refund by submitting an email to

Satisfaction Guarantee: If you’re not satisfied with your subscription, you can contact us for further help. Contact must be made within 3 business days of your subscription purchase and your refund request will be subject for review.

Please Note: Refunds can never be provided more than 30 days after the initial purchase date regardless of your activity on the site.