The next stop on our Year 12 Recap is the microeconomic concept of the Price Mechanism.
If you are in Year 12, it is essential that you are confident with the basic principles and functions of the price mechanism to help understand how the interaction of demand and supply creates a prevailing equilibrium price and quantity.
Today's Year 12 Recap is looking at the topic of supply curves. Supply curves provide economists with a graphical way of representing the quantity supplied of a good or service at any given price. Being able to understand the basic upward shape of supply curves and the distinction between a movement along the supply curve and a shift is a crucial skill amongst economists.
Today's Year 12 Recap is looking at the topic of demand curves. Demand curves provide economists with a graphical way of representing the quantity demanded of a good or service at any given price. Being able to understand the basic downward shape of demand curves and the distinction between a movement along the demand curve and a shift is a crucial skill among economists.
