Note: This is the sixth post in a weekly video series on basic microeconomics.
Last week we took a deeper look into the demand curve, examining how to read the demand curve, how demand curves shift, and consumer surplus. This week we want to take a closer look at the supply curve and what it reveals to us.
And in this next video from Marginal Revolution University we consider the factors that shift the supply curve. How do technological innovations, input prices, taxes and subsidies, and other factors affect a firm’s costs and the price at which the firm is willing to sell a good? By answering these questions we can gain a better understanding of how and why the supply curve shifts.
(If you find the pace of the videos too slow, I’d recommend watching them at 1.5 to 2 times the speed. You can adjust the speed at which the video plays by clicking on “Settings” (the gear symbol) and changing “Speed” from normal to 1.25, 1.5 or 2.)
Previous in series: How to read a demand curve