Episode Synopsis "3. The Determination of Prices"

Price is determined by the equilibrium price and the equilibrium quantity. If your good is not selling, you lower the price. If your goods fly off the shelves you are selling too cheaply and you raise prices. Demand changes constantly, e.g. the shift to white wines away from dark hard liquor. Prices will fall when demand falls.Part 3 of 14. Presented in 1986 at New York Polytechnic University.

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More episodes of the podcast Introduction to Microeconomics

• 1. Intro to Micro: Demand and Supply
• 2. Value
• 3. The Determination of Prices
• 4. Price Controls in the Oil Industry
• 5. Minimum Price Controls
• 6. Government Licensing of Industry and Minimum Wage
• 7. Mid-Term Review and The Theory of the Firm
• 8. The Firm
• 9. Monopoly and Competition
• 10. Government Cartels
• 11. The Structure of Production
• 12. Labor and Unions
• 13. The Labor Market
• 14. Interest Rates and Course Review