exercises due: calendar week 40 (first lesson of the week)


Instructions:

 

A. supply and demand

  1. Do the exercises below. (obligatory)
  2. Watch the video about "The Economics of Sex" below and comment, if it is helpful for understanding supply and demand (voluntarily)

 


Exercises on supply and demand

 

exercise 1:

As a producer of washing mashines, you analyse the market situation for washing mashines. Two months ago, the demand for washing mashines was 30 000 mashines that were sold for an average of 9 000 €/per mashine. In total, 90 000 mashines were offered.

Last month, a total of 50 000 mashines was offered. All of them were sold for an average of 5 000€/ per mashine. In addition to that, 10 000 mashines were ordered in advance.

 

Which of the following market situations is the correct analysis for two months ago and which is the correct analysis for last month (explain)?

 

market situation total turnover (Umsatz) development of the prices
1. Shortage 290 Mio € rising
2. Surplus 270 Mio € falling
3. Surplus 270 Mio € staying the same
4. Shortage 520 Mio € falling
5. Surplus 250 Mio € staying the same
6. Shortage 250 Mio € rising

exercise 2:

Draw a supply - demand chart of the market situation and analyse what the equlibrium is (round about).