第0页共23页编号：时间：2021年x月x日书山有路勤为径，学海无涯苦作舟页码：第0页共23页CHAPTER9THEANALYSISOFCOMPETITIVEMARKETSTEACHINGNOTESWiththeexceptionofChapter1,Chapter9isthemoststraightforwardandeasilyunderstoodchapterinthetext.Thechapterbeginswithareviewofconsumerandproducersurplusinsection9.1.Ifyouhavepostponedthesetopics,youshouldcarefullyexplainthedefinitionofeach.Section9.2discussesthebasicconceptofefficiencyincompetitivemarketsbycomparingcompetitiveoutcomeswiththoseundermarketfailure.AmoredetaileddiscussionofefficiencyispresentedinChapter16.Sections9.3to9.6presentexamplesofgovernmentpoliciesthatcausethemarketequilibriumtodifferfromthecompetitive,efficientequilibrium.Theinstructorcanpickandchooseamongsections9.3to9.6dependingontimeconstraintsandpersonalpreference.Thepresentationineachofthesesectionsfollowsthesameformat:thereisageneraldiscussionofwhymarketinterventionleadstodeadweightloss,followedbythepresentationofanimportantpolicyexample.Eachsectionisdiscussedinonereviewquestionandappliedinatleastoneexercise.Exercise(1)focusesonminimumwagespresentedinSection9.3.Exercises(4)and(5)reinforcediscussionofpricesupportsandproductionquotasfromSection9.4.Theuseoftariffsandquotas,presentedinSection9.5,canbefoundinExercises(3),(6),(7),(8),(11),and(12).Taxesandsubsidies(Section9.6)arediscussedinExercises(2),(9),and(14).Exercise(10)reviewsnaturalgaspricecontrolsinExample9.1,acontinuationofExample2.7.Exercise(4)maybecomparedtoExample9.4anddiscussedasanextensionofExample2.2.REVIEWQUESTIONS1.Whatismeantbydeadweightloss?Whydoesapriceceilingusuallyresultinadeadweightloss?Deadweightlossreferstothebenefitslosttoeitherconsumersorproducerswhenmarketsdonotoperateefficiently.Thetermdeadweightdenotesthatthesearebenefitsunavailabletoanyparty.Apriceceilingwilltendtoresultinadeadweightlossbecauseatanypricebelowthemarketequilibriumprice,quantitysuppliedwillbebelowthemarketequilibriumquantitysupplied,resultinginalossofsurplustoproducers.Consumerswillpurchaselessthanthemarketequilibriumquantity,resultinginalossofsurplustoconsumers.Consumerswillalsopurchaselessthanthequantitytheydemandatthepricesetbytheceiling.Thesurpluslostbyconsumersandproducersisnotcapturedbyeithergroup,andsurplusnotcapturedbymarketparticipantsisdeadweightloss.2.Supposethesupplycurveforagoodiscompletelyinelastic.Ifthegovernmentimposedapriceceilingbelowthemarket-clearinglevel,wouldadeadweightlossresult?Explain.Whenthesupplycurveiscompletelyinelastic,theimpositionofaneffectivepriceceilingtransfersalllossinproducersurplustoconsumers.Consumersurplusincreasesbythedifferencebetweenthemarket-clearingpriceandthepriceceilingtimesthemarket-clearingquantity.Consumerscapturealldecreasesintotalrevenue.Therefore,nodeadweightlossoccurs.3.Howcanapriceceilingmakeconsumersbetteroff?Underwhatconditionsmightitmakethemworseoff?Ifthesupplycurveisperfectlyinelasticapriceceilingwillincreaseconsumersurplus.Ifthedemandcurveisinelastic,pricecontrolsmayresultinanetlossofconsumersurplusbecauseconsumerswillingtopayahigherpriceareunabletopurchasetheprice-controlledgoodorservice.Thelossofconsumersurplusisgreaterthanthe第1页共23页第0页共23页编号：时间：2021年x月x日书山有路勤为径，学海无涯苦作舟页码：第1页共23页transferofproducersurplustoconsumers.Ifdemandiselastic(andsupplyisrelativelyinelastic)consumersintheaggregatewillenjoyanincreaseinconsumersurplus.4.S...
