You are seriously making the life of students of economics so much BETTER and easier! I have lots of fun watching your videos and learning so much in such a short amout of time. It's very effective and you're so professional. THANK YOU A LOT! Keep up the good work ! =)
this is what I am searching for years.THANK YOU SIR YOU JUST MADE MY DAY.very clear explanation love your videos keep making and make is love economics
Step 1. Open Expensive Store Step 2. Make Sure everyone knows its an expensive store Step 3. Make It Expensive Until Holidays Thanksgiving to Christmas Step 4. Have Sale During Holidays Step 5. Make sure everyone knows its a MASSIVE SALE Step 6. Hire Security Step 7. Rake in Dough
+Goatsuit Gaming Step 8: Realize "raked in dough" doesn't come anywhere near enough to cover your expenses during the rest of the year when your prices weren't competitive Step 9: Contact bankruptcy attorney Step 10: Discharge employees and close doors Step 11: Wonder where you got the idiotic notion that such a business model ever worked at any time
There are no capitalist slaves. And it's hilarious to that it is suggested that people are being convinced by capitalism to act against the own interests by believers of a long dead failed journalist whose positions were completely debunked more than a century ago (and who choose to post under the image of a murderous thug with no redeeming qualities).
That's kinda funny how the people just rush towards the store in black Friday , it reminds me a scene from train to Busan zombie rushing lol. But to say the explanation was amazing 😄
***TEACHER RESOURCES*** Supply and Demand 5-day HS unit plan: mru.io/gmn Law of Demand 45 minute lesson plan: mru.io/law-demand-b0aec Assessment questions: mru.io/principles-d6496 More high school teacher resources: mru.io/high-school-63d8d More professor resources: mru.io/university-teaching-42d05 ***CONTINUE LEARNING*** Next video-The Supply Curve: mru.io/supply-curve-95786 Practice questions: mru.io/demand-curve-6368b Full Microeconomics course: mru.io/7sr
HELLO PROFESSOR, THANKS FOR THE VIDEO IS REALLY HELPFUL! I HAVE A QUESTION. BETWEEN INCOME AND WTP WHAT WOULD BE THE DEPENDANT AND INDEPENDENT VARIABLE AND WHY? THANKS I HOPE TO HEAR FROM YOU SOON
Thanks for the video, but I think oil is not the best example here because it is relatively inelastic and a change in price doesn't effect the quantity demanded as much as you have explained
The graph is confusing. Should price, the invariant axis, be along the bottom? And the quantity demanded be the y axis? The curve would look the same but moving from left to right along the curve would show the change in demand as the price increases, much more intuitive. Is this a convention in economics that the price is always labeled along the y axis?
normalasylum Yes, this is the convention in economics. It is this way because when we look at other graphs later on, such as when we combine it with the supply curve, it forms a pretty intuitive system.
One man said that a college degree was a waste of time, so he used to provide a 5 minute course, arguing that he could teach them everything they would learn in their college life in just 5 minutes. One of his courses was on economics, and all he taught was this: Supply and demand in 5 minutes. More supply less demand. Less supply more demand.
These are great videos!! I can't figure out how to get to the practice questions. It doesn't let me click on it and there is no link to them in the description. Please help. Thank you.
+Nicole Reynolds Sorry about that, Nicole! Someone on our team is actually having the same problem with UA-cam's annotation feature not working on her account. We're troubleshooting and I'll let you know when we've solved the issue. In the meantime, you can access the questions on this video's page on our site: www.mruniversity.com/courses/principles-economics-microeconomics/demand-curve-shifts-definition Look for "Practice Questions" on the right-hand side, just under the video embed. -Meg
At 1:47, on the graph, if we price $55 a barrel making 5 million barrels, we make $275,000,000. Cool. Now, we should only lower the price if we'll make more money doing so (or at least not lose money). At $20 a barrel for 25 million barrels, it makes sense because the revenue is now $500,000,000, much more than the $275,000,000 at the start. However, at $5 a barrel for 50 million barrels, we only make $250,000,000, which is less than the $275 million we started out with. That's poor pricing. The price should be nothing less than $5.50 per barrel at 50 million barrels if we want to not lose money when lowering the price, or else, it doesn't make sense to produce that many barrels.
I took micro and macro economics but i passed both courses with very low grade :( i aman international student. the biggest issue for me is that when the exam comes. i can't get a good grade no matter how hard i try. i take notes and reverse them but still the same. i wish someone tells me the secret of how to beat it
you must think economically. Looking over my notes in class never once helped me, what helped was thinking economically. I got an A in micro and macro and have tutored many other friends that have a similar issue as you. The most important thing is to start at the begging and make sure that for SURE you understand Marginal benfits and Marginal Costs, thinking at the margin alone is all it takes to get a general economic basis.
This video is about the relationship between price and the quantity demanded. This relationship is shown by each point _along_ the demand curve. The curve simply shows that as the price (per unit) goes down, the total quantity demanded for that product rises. If I understand your question correctly, you seem to ask about a different issue: why does the price rise when the quantity demanded increases regardless of what the price is. Sometimes, due to factors not plotted in the graph, the quantity demanded would increase (move to the right) at any given price, or at 'all prices'. We represent that is by shifting or moving the demand curve as a whole to the right.
Guys! I need help! My professor has asked us to create a business plan and explain how law of demand and supply apply to it. I don't know where to begin with. Any ideas?
A higher "demand for college" means that for any possible price of college, there is now more quantity demanded (due to an increase in some variable not plotted in the graph). In that case, the demand curve would shift left and then the graph would show how the equilibrium price would rise. The graph would represent the phenomenon of competition between demanders of college, who would bid up the price to get the college spots ahead of each other.
its a tradition honestly, the earliest economist did it this way, and technicially price is in response to the amount on the market. there is no real definitive way to make one a response and the other the X, so we just use what has always been done.
Demand curve How much good people will want At lower prices Price and quantity High price low demand Price decrease demand increase High value consumer Low value uses
I can not be the only one here who is utterly confused on what a demand curve is explaining? There are far too much assumptions, I have no idea what the x or y axis mean nor as to why when quantity demand goes up, why people would be willing to pay less? I am so utterly lost and jaw dropped that such a simple concept like this has just absolutely fried my brain. I don't think I've ever been this confused on one entire subject. Are the axis's even correlated? Does the X axis react as a result to a change in the Y axis? What the fuck is this?
People will be willing to pay less..... because of the application of law of diminishing marginal utility Explaination= As u consume more and more of a commodity( eg: sandwich). The satisfaction gain by each sandwich will tend to decline.....and ultimately it will become zero.....and it can get negative also So, if 10th sandwich which u r consuming is giving 0 satisfaction!!! So will u consume more?? Obviously no!! U would not want to pay a single penny for the next sandwich... Because of this only....more u consume (demand).....u wil be willing to pay less and less amt.
+Desmon Saragi Hi! We encourage the use of our videos in the classroom. For our full Terms of Use, please see our website: www.mruniversity.com/terms-of-use
Its a great video but becomes miss-leading when you don't consider the concentration of wealth which drives inflation of products for maintaining and increasing profit margins. which has a feedback effect in driving up prices, if you can sell a product for 100 times the price and there is still someone to buy, it makes more sense and as profit margins increase aggregate demand/purchasing power diminishes and reduces access to the economy driving up consumer lending to make ends meet. this is further exacerbated by trade deals allowing companies to make products overseas and exclude the people that built their company in their country of origin from participating in the economy, welcome to the information age. some of us can recognize the declaration of economic warfare by neo-liberal globalists.
+Pawadin What's misleading is the absurd-on-its-face notion that any "concentration of wealth ... drives inflation of products for maintaining and increasing profit margins." Every aspect of that nonsensical claim fails spectacularly. First, the disproved fairy tales of Thomas Picketty notwithstanding, there exists not a shred of evidence that concentration of wealth causes any difficulties whatsoever in a market economy. Second, inflation is a purely monetary phenomenon driven by the number of dollars available to chase a given set of goods and services so, even if wealth concentration were a problem, it is objectively impossible for it to have any effect at all on inflation, let alone drive it. Third, inflation has no role whatsoever in "maintaining and increasing profit margins". Quite the contrary, inflation adds another factor that must be taken into account when determining prices. The absence of inflation would make maintaining profit margins easier (on top of tremendously benefiting the economy as a whole). There exists no "feedback effect" as the underlying premise is completely false. Mr. MacDonald has dealt with the "100 times" absurdity (and, while not specifically mentioning it, shredding the notion that it could increase "aggregate demand" or reduce purchasing power (which reflects the goods and services options as a whole - not merely a single product). I'll only add that you dig yourself even deeper with the hilarious implication that consumer lending is driven by a need to make ends meet. Similarly, Mr. McDonald has schooled you quite well on the issue of foreign trade. You do seem to have included another massive canard that was not addressed regarding "the people that built their company" being excluded. Who do you believe "built their company? You seem to be suffering from the all-too-common delusion that front-line workers enjoy that distinction and that it is possible to exclude them from their due. This Marxian imbecility must be stopped whenever it rears its ugly head. The simple reality is that workers are simply providing labor services for which the market *guarantees* that they must be fully compensated for the labor services they provide. It is economically impossible to underpay workers. Maybe you should stop trying to recognize declarations and spend a little more time trying to deal with something that has completely escaped your attention: reality.
gasoline is a low value use of oil? like 95% of cars buses trucks on the road rely on it? the economy would come to a stand still if gasoline wasn't available, planes aren't entirely necessary for the economy to work
No one has explained this as well as you guys in a short video, thank you.
You are seriously making the life of students of economics so much BETTER and easier! I have lots of fun watching your videos and learning so much in such a short amout of time. It's very effective and you're so professional. THANK YOU A LOT! Keep up the good work ! =)
Straightforward, to the point, and clear. I wish all YT videos were this helpful. Many thanks!
You guys make economics seem much more interesting! Thank you so much :)
Seriously a BIG YES
this is what I am searching for years.THANK YOU SIR YOU JUST MADE MY DAY.very clear explanation love your videos keep making and make is love economics
I actually dislike economics as a study but seeing this video.. make me learn more n more
So quick and delving. I love that.
Such a nice way of teaching . He z really a gr8 teacher . I appreciate his way of teaching
Really enjoy the videos, short and efficient...thank you.
Wish economics was taught this way back in the university!
Composed materials and average price and stock control could easily have been incorporated in just 5 minutes more of video.
Try 'money mechanics'.
I saw the curve going down and thought that meant less demand hence I was confused. Thanks for making it clear!!❤️☺️
thank you for the videos! I feel I will be ahead of the curve come the first day of class!
Step 1. Open Expensive Store
Step 2. Make Sure everyone knows its an expensive store
Step 3. Make It Expensive Until Holidays Thanksgiving to Christmas
Step 4. Have Sale During Holidays
Step 5. Make sure everyone knows its a MASSIVE SALE
Step 6. Hire Security
Step 7. Rake in Dough
+Goatsuit Gaming
Step 8: Realize "raked in dough" doesn't come anywhere near enough to cover your expenses during the rest of the year when your prices weren't competitive
Step 9: Contact bankruptcy attorney
Step 10: Discharge employees and close doors
Step 11: Wonder where you got the idiotic notion that such a business model ever worked at any time
FletchforFreedom its a joke, chill commie
Yes, it's a joke. I'm as far from a commie as is humanly possible.
Let’s talk about Oil!
*America intensifies*
Thank you for this video. I haven't learned demand curve this way and I found it really useful! Thank you
This is what i'm searching for. GOOD EXPLANATION❤😍😍
Your videos are helpful and engaging! I really appreciate them.
thank you so so so much, your videos are easy to understand and the were very useful for me. I wish you explained Phillips curve but thank you anyway.
Thank you! Phillips curve is on our list to cover. :-)
Roman
There are no capitalist slaves. And it's hilarious to that it is suggested that people are being convinced by capitalism to act against the own interests by believers of a long dead failed journalist whose positions were completely debunked more than a century ago (and who choose to post under the image of a murderous thug with no redeeming qualities).
Liked and subscribed. Helped me a lot with my econ homework :)
Excellent work.keep it up
That's kinda funny how the people just rush towards the store in black Friday , it reminds me a scene from train to Busan zombie rushing lol.
But to say the explanation was amazing 😄
***TEACHER RESOURCES***
Supply and Demand 5-day HS unit plan: mru.io/gmn
Law of Demand 45 minute lesson plan: mru.io/law-demand-b0aec
Assessment questions: mru.io/principles-d6496
More high school teacher resources: mru.io/high-school-63d8d
More professor resources: mru.io/university-teaching-42d05
***CONTINUE LEARNING***
Next video-The Supply Curve: mru.io/supply-curve-95786
Practice questions: mru.io/demand-curve-6368b
Full Microeconomics course: mru.io/7sr
HELLO PROFESSOR, THANKS FOR THE VIDEO IS REALLY HELPFUL! I HAVE A QUESTION. BETWEEN INCOME AND WTP WHAT WOULD BE THE DEPENDANT AND INDEPENDENT VARIABLE AND WHY? THANKS I HOPE TO HEAR FROM YOU SOON
To the people downvoting this: Is there wrong information here or infromation shortened so an important point is missing?
Thanks for the video, but I think oil is not the best example here because it is relatively inelastic and a change in price doesn't effect the quantity demanded as much as you have explained
So just create a different example for yourself does it really matter 😂
@@sportaholic321you got a paper today?
Amazing lecture bro, loved the way you explained the things, wish I had such profs
Thank you... 9years later.
For the answer on "what can't melt steel beams", see 2:02
Saudações do Brasil 😀
Why demand curve is not strait??? How does it work
great videos!
Thanks!
Roman
The graph is confusing. Should price, the invariant axis, be along the bottom? And the quantity demanded be the y axis? The curve would look the same but moving from left to right along the curve would show the change in demand as the price increases, much more intuitive. Is this a convention in economics that the price is always labeled along the y axis?
normalasylum Yes, this is the convention in economics. It is this way because when we look at other graphs later on, such as when we combine it with the supply curve, it forms a pretty intuitive system.
+normalasylum Economics is as old as the conventions of graphing. Economics stuck to tradition on this.
stop complaining about the way economics Works.
Love your videos .. Thanks a lot
conectar con el perro
wow, you explained very well . thanks
Great style of animation
Obrigada pelo vídeo sobre economia curva de demanda. Fantástico
You cannot use oil as an example for the demand curve when there is no substitute and people have to buy it nearly regardless of the price.
It has value and you are willing to pay ...that is demand
One man said that a college degree was a waste of time, so he used to provide a 5 minute course, arguing that he could teach them everything they would learn in their college life in just 5 minutes.
One of his courses was on economics, and all he taught was this: Supply and demand in 5 minutes.
More supply less demand.
Less supply more demand.
I got a question.
Why is the Price in X-axis instead of Y-axis and Vice versa for Quantity?
Why not reverse?
haven't seen a more American thing than teaching economics by using oil, nice video
Thank you so much sir 😊🙏
Thanks u saved me
Is there two errors in the video Please show them
What were they? The 2 errors
Thank you so much from india
What a high quality video excellent
Thank you so much!
These are great videos!!
I can't figure out how to get to the practice questions. It doesn't let me click on it and there is no link to them in the description.
Please help. Thank you.
+Nicole Reynolds Sorry about that, Nicole! Someone on our team is actually having the same problem with UA-cam's annotation feature not working on her account. We're troubleshooting and I'll let you know when we've solved the issue.
In the meantime, you can access the questions on this video's page on our site: www.mruniversity.com/courses/principles-economics-microeconomics/demand-curve-shifts-definition Look for "Practice Questions" on the right-hand side, just under the video embed.
-Meg
Thanks guys. I am seen this in 2022
At 1:47, on the graph, if we price $55 a barrel making 5 million barrels, we make $275,000,000. Cool. Now, we should only lower the price if we'll make more money doing so (or at least not lose money). At $20 a barrel for 25 million barrels, it makes sense because the revenue is now $500,000,000, much more than the $275,000,000 at the start. However, at $5 a barrel for 50 million barrels, we only make $250,000,000, which is less than the $275 million we started out with. That's poor pricing. The price should be nothing less than $5.50 per barrel at 50 million barrels if we want to not lose money when lowering the price, or else, it doesn't make sense to produce that many barrels.
Thanks sir and very good video
Awesome representation
I'm just starting to watch your videos and it seems to be very interesting. Let's see... )
Thank you for this video :)
Why is the demand/supply curve always continous ? Do we assume that the quantities traded can be in fractions ?
Think you should start an app
Fricking, THANK YOU!
Great video
Thank you
Thank you
your videos are great.... which technology do you use for creating videos? Pls reply.
Hi Pratik,
We use Adobe After Effects and Adobe Premiere for most of our stuff these days.
Best, Roman
Y
good one! thank you :)
I took micro and macro economics but i passed both courses with very low grade :( i aman international student. the biggest issue for me is that when the exam comes. i can't get a good grade no matter how hard i try. i take notes and reverse them but still the same. i wish someone tells me the secret of how to beat it
you must think economically. Looking over my notes in class never once helped me, what helped was thinking economically. I got an A in micro and macro and have tutored many other friends that have a similar issue as you. The most important thing is to start at the begging and make sure that for SURE you understand Marginal benfits and Marginal Costs, thinking at the margin alone is all it takes to get a general economic basis.
Then why don't airline prices follow the demand? So many other products. The curve is bogus.
This video is about the relationship between price and the quantity demanded. This relationship is shown by each point _along_ the demand curve. The curve simply shows that as the price (per unit) goes down, the total quantity demanded for that product rises. If I understand your question correctly, you seem to ask about a different issue: why does the price rise when the quantity demanded increases regardless of what the price is. Sometimes, due to factors not plotted in the graph, the quantity demanded would increase (move to the right) at any given price, or at 'all prices'. We represent that is by shifting or moving the demand curve as a whole to the right.
There are exceptions that do not obey the law of demand. Such as luxury goods, necessities, addictive goods, speculative goods etc.
thanks so much
Guys! I need help! My professor has asked us to create a business plan and explain how law of demand and supply apply to it. I don't know where to begin with. Any ideas?
Ur wrong at 1:40 it’s quantity demanded not just demand of barrels
is there any videos of economic history of india?
please tell me
Hi Anukriti,
We have a handful of videos that deal with India's economic development. Here's a list: bit.ly/2dJxxj0
Hope that helps!
Meg
Thanku so much
+Marginal Revolution University what about ancient economic behavior? like ancient china or egypt?
Hi Meta tron! We don't have anything in our library that goes quite that far back. -Meg
nice job
infinity turn left demand turn proof quality turn light.
After I pass these exams, will I get a certificate or recommendation to employers, since I reside in the Philippines?
NO, go to law school
Forgot...high demand for college...and?
A higher "demand for college" means that for any possible price of college, there is now more quantity demanded (due to an increase in some variable not plotted in the graph). In that case, the demand curve would shift left and then the graph would show how the equilibrium price would rise. The graph would represent the phenomenon of competition between demanders of college, who would bid up the price to get the college spots ahead of each other.
Thanks lots
thank youuuu ily
i like men
Explain why demand curve downward slopping curve
I'm from India
why should price in y axis and quantity is x axis
because people are stupid
+Giorgio Sala fight might live
its a tradition honestly, the earliest economist did it this way, and technicially price is in response to the amount on the market. there is no real definitive way to make one a response and the other the X, so we just use what has always been done.
It's just a tradition which has stuck, even though it may seem counterintuitive.
is one problem payment was stagnacy 40 yers and price is going hight that is a problem capitalist
whats the main guy in the intros snap ??
its great...
Diwali in India is black Friday for us
Its always about oil
Demand curve
How much good people will want
At lower prices
Price and quantity
High price low demand
Price decrease demand increase
High value consumer
Low value uses
Very great. So, what's the software for make the video? #ZFH
thnk u
I can not be the only one here who is utterly confused on what a demand curve is explaining? There are far too much assumptions, I have no idea what the x or y axis mean nor as to why when quantity demand goes up, why people would be willing to pay less? I am so utterly lost and jaw dropped that such a simple concept like this has just absolutely fried my brain. I don't think I've ever been this confused on one entire subject. Are the axis's even correlated? Does the X axis react as a result to a change in the Y axis? What the fuck is this?
People will be willing to pay less..... because of the application of law of diminishing marginal utility
Explaination= As u consume more and more of a commodity( eg: sandwich). The satisfaction gain by each sandwich will tend to decline.....and ultimately it will become zero.....and it can get negative also
So, if 10th sandwich which u r consuming is giving 0 satisfaction!!! So will u consume more?? Obviously no!! U would not want to pay a single penny for the next sandwich...
Because of this only....more u consume (demand).....u wil be willing to pay less and less amt.
hi, im from indonesia and i want to have permission to use a few content in this video for a school asingment. do you allow me to use it?
+Desmon Saragi Hi! We encourage the use of our videos in the classroom. For our full Terms of Use, please see our website: www.mruniversity.com/terms-of-use
Nice.
Any ASoSE Student?
😅😅
WHO ARE HELPING YOU DOWNLOAD THIS VIDEO WITH VIETNAMESE
nobody
Nhung Trần i
@@serdarates8266 Vietnamca konuş
I didnt get it oil in the curve😢
the video is terrible at explaining it
Mantap bpk
Lol - this theory was blown out of the water with covid 19. Negative oil!
Jane Himarios sent me here
So they are giving away extra barrels for free?
Why sell more for less
that has to do with suppy not demand
ihave to suck threw paper straws but they cant make Electric planes
CAN I HELP ME
Its a great video but becomes miss-leading when you don't consider the
concentration of wealth which drives inflation of products for
maintaining and increasing profit margins.
which has a feedback effect in driving up prices, if you can
sell a product for 100 times the price and there is still someone to
buy, it makes more sense and as profit margins increase aggregate
demand/purchasing power diminishes and reduces access to the economy
driving up consumer lending to make ends meet.
this is further exacerbated by trade deals allowing companies
to make products overseas and exclude the people that built their
company in their country of origin from participating in the economy,
welcome to the information age. some of us can recognize the declaration
of economic warfare by neo-liberal globalists.
+Pawadin What's misleading is the absurd-on-its-face notion that any "concentration of wealth ... drives inflation of products for maintaining and increasing profit margins."
Every aspect of that nonsensical claim fails spectacularly. First, the disproved fairy tales of Thomas Picketty notwithstanding, there exists not a shred of evidence that concentration of wealth causes any difficulties whatsoever in a market economy. Second, inflation is a purely monetary phenomenon driven by the number of dollars available to chase a given set of goods and services so, even if wealth concentration were a problem, it is objectively impossible for it to have any effect at all on inflation, let alone drive it. Third, inflation has no role whatsoever in "maintaining and increasing profit margins". Quite the contrary, inflation adds another factor that must be taken into account when determining prices. The absence of inflation would make maintaining profit margins easier (on top of tremendously benefiting the economy as a whole). There exists no "feedback effect" as the underlying premise is completely false.
Mr. MacDonald has dealt with the "100 times" absurdity (and, while not specifically mentioning it, shredding the notion that it could increase "aggregate demand" or reduce purchasing power (which reflects the goods and services options as a whole - not merely a single product). I'll only add that you dig yourself even deeper with the hilarious implication that consumer lending is driven by a need to make ends meet.
Similarly, Mr. McDonald has schooled you quite well on the issue of foreign trade. You do seem to have included another massive canard that was not addressed regarding "the people that built their company" being excluded. Who do you believe "built their company? You seem to be suffering from the all-too-common delusion that front-line workers enjoy that distinction and that it is possible to exclude them from their due. This Marxian imbecility must be stopped whenever it rears its ugly head. The simple reality is that workers are simply providing labor services for which the market *guarantees* that they must be fully compensated for the labor services they provide. It is economically impossible to underpay workers.
Maybe you should stop trying to recognize declarations and spend a little more time trying to deal with something that has completely escaped your attention: reality.
nice
Om shanti k good
gasoline is a low value use of oil? like 95% of cars buses trucks on the road rely on it? the economy would come to a stand still if gasoline wasn't available, planes aren't entirely necessary for the economy to work