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Chapter 2: Basics of Supply and Demand – Microeconomics Study Notes

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Competitive Markets

The Supply Curve

Shifts in the Supply Curve

The Demand Curve

Shifts in the Demand Curve

Market Equilibrium

Using the Supply and Demand Curves to Find Equilibrium

Percentage Change and Price Elasticity of Demand

Effects of Taxes on a Market

Price Ceilings, Price Floors, and Black Markets