## Unit Three: Individuals and Markets

1. Discussed today's topics: individual and total consumer surplus; effects on consumer surplus with changes in price. Homework: read pp. 142-146; Answer and Look #1, p. 142; Problem Set 2.15, due Monday; extra credit, #1 & 4, pp. 157-158. [2/18]

2. Discussed today's topics: individual and total producer surplus; effects on producer surplus with changes in price. Homework: read pp. 147-156; Answer and Look #1, p. 146; Problem Set 2.16, due Tuesday; extra credit, Problem Set 2.11 and #2 & 3, pp. 157-158. [2/19]

3. Discussed today's topics: total surplus; reallocation of resources; market failure; efficiency costs of a tax; and deadweight loss. Homework: read pp.160-164; answer and look #1, p. 164; answer #1-3, p. 178--due Wednesday; and Article 1-10: Economic Systems, also due Wednesday. [2/22]

4. Discussed today's topics: explicit versus implicit costs; accounting versus economic profit; and the implicit cost of capital. Homework: read pp.165-173; answer and look #1 and 2, p. 173; answer #6-10, pp. 179-80--due Thursday. [2/23]

5. Discussed today's topics: marginal cost curve; marginal benefit curve; optimal quantity; total net gain; sunk costs; and MB = MC;. Homework: read pp.173-177; answer and look #1, p. 177; Activity 1-11 (Anything Worth Doing. . . .), due Friday; extra credit, Problem Set 5.1 (MB & MC), and Handout 3-2-1 (Marginal Decisions). [2/24]

6. Discussed today's topics: interest rates; present value; time value of money; Rule of 70; and net present value. Received Unit Three Review sheet. Homework: read pp.230-234; answer and look #1 and 2, p. 234; answer #12 and 13, page 180--due Tuesday; Problem Set 2-6-1 (Making Choices at the Margin) due Monday. [2/25]

7. Discussed today's topics:utility; consumption bundle; marginal utility theory; law of diminishing marginal utility. Homework: read pp.234-241 AND 257-70; answer and look #1, p. 241 and #2, p. 258; Problem Set 1.7 (Marginal Utility Problem), which is due Tuesday. [2/26]

8. Discussed today's topics: indifference curves; budget lines; optimal consumption bundle; tangency condition. Homework: Read pp. 241-244; Answer and Look #1 & 2, p. 245; Problem Set 3.1 (Budget Lines); Problem Set 3.2 (Indifference Curves); Problem Set 3.3 (Indifference Curves and Budget Lines and Efficiency); Problem Set 3.4 (Indifference Curves and Budget Lines and Demand Curves); #7 &8, p/ 251; and #1 & 2, p. 278--all extra credit. [2/29]

ACT Day, March 1st. Juniors only at school today. Regular classes suspended until tomorrow.

9. Discussed today's topics: marginal utility theory; marginal utility per dollar; optimal consumption. Homework: Read pp. 245-249; Answer and Look #1-3, p. 249; Read pp. 270-277; Answer and Look #1 &, p. 277; Answer #9, p. 252--due Thursday. [3/2]

10. Discussed today's topics: substitution effect and income effect on the demand curve; purchasing power; how income and substitution effects can be described using indifference curves and budget lines. Homework: Answer and Look #1 & 4, p. 270; Problem Set 2.2 (Why is a Demand Curve Downward Sloping?), due Friday; Answer #1& 2, p. 278 and #8 &9, p. 280--extra credit. [3/3]

11. Review for Unit 3 exam. Free Response Questions exam on Monday, Multiple Choice exam on Tuesday. [3/4]

12. Unit 3 exam, Free Response Questions. All late work due by 4PM on tomorrow. [3/7]

13. Unit 3 exam, Mutliple-Choice Questions. All late work due by 4PM tonight. Homework: Read pp. 181-189; answer and look #1, p. 189 [3/8]

2. Discussed today's topics: individual and total producer surplus; effects on producer surplus with changes in price. Homework: read pp. 147-156; Answer and Look #1, p. 146; Problem Set 2.16, due Tuesday; extra credit, Problem Set 2.11 and #2 & 3, pp. 157-158. [2/19]

3. Discussed today's topics: total surplus; reallocation of resources; market failure; efficiency costs of a tax; and deadweight loss. Homework: read pp.160-164; answer and look #1, p. 164; answer #1-3, p. 178--due Wednesday; and Article 1-10: Economic Systems, also due Wednesday. [2/22]

4. Discussed today's topics: explicit versus implicit costs; accounting versus economic profit; and the implicit cost of capital. Homework: read pp.165-173; answer and look #1 and 2, p. 173; answer #6-10, pp. 179-80--due Thursday. [2/23]

5. Discussed today's topics: marginal cost curve; marginal benefit curve; optimal quantity; total net gain; sunk costs; and MB = MC;. Homework: read pp.173-177; answer and look #1, p. 177; Activity 1-11 (Anything Worth Doing. . . .), due Friday; extra credit, Problem Set 5.1 (MB & MC), and Handout 3-2-1 (Marginal Decisions). [2/24]

6. Discussed today's topics: interest rates; present value; time value of money; Rule of 70; and net present value. Received Unit Three Review sheet. Homework: read pp.230-234; answer and look #1 and 2, p. 234; answer #12 and 13, page 180--due Tuesday; Problem Set 2-6-1 (Making Choices at the Margin) due Monday. [2/25]

7. Discussed today's topics:utility; consumption bundle; marginal utility theory; law of diminishing marginal utility. Homework: read pp.234-241 AND 257-70; answer and look #1, p. 241 and #2, p. 258; Problem Set 1.7 (Marginal Utility Problem), which is due Tuesday. [2/26]

8. Discussed today's topics: indifference curves; budget lines; optimal consumption bundle; tangency condition. Homework: Read pp. 241-244; Answer and Look #1 & 2, p. 245; Problem Set 3.1 (Budget Lines); Problem Set 3.2 (Indifference Curves); Problem Set 3.3 (Indifference Curves and Budget Lines and Efficiency); Problem Set 3.4 (Indifference Curves and Budget Lines and Demand Curves); #7 &8, p/ 251; and #1 & 2, p. 278--all extra credit. [2/29]

ACT Day, March 1st. Juniors only at school today. Regular classes suspended until tomorrow.

9. Discussed today's topics: marginal utility theory; marginal utility per dollar; optimal consumption. Homework: Read pp. 245-249; Answer and Look #1-3, p. 249; Read pp. 270-277; Answer and Look #1 &, p. 277; Answer #9, p. 252--due Thursday. [3/2]

10. Discussed today's topics: substitution effect and income effect on the demand curve; purchasing power; how income and substitution effects can be described using indifference curves and budget lines. Homework: Answer and Look #1 & 4, p. 270; Problem Set 2.2 (Why is a Demand Curve Downward Sloping?), due Friday; Answer #1& 2, p. 278 and #8 &9, p. 280--extra credit. [3/3]

11. Review for Unit 3 exam. Free Response Questions exam on Monday, Multiple Choice exam on Tuesday. [3/4]

12. Unit 3 exam, Free Response Questions. All late work due by 4PM on tomorrow. [3/7]

13. Unit 3 exam, Mutliple-Choice Questions. All late work due by 4PM tonight. Homework: Read pp. 181-189; answer and look #1, p. 189 [3/8]