NAUX-Change-02-6
Briefly describe supply and demand.
Discussion 02.1:Your Production Possibilities Frontier
Discuss and apply this model to your life bydescribing your forgone leisure or forgone income as your tradeoff for a higherGPA score. A lower grade is theopportunity cost of increased leisure or increased income. Also identify your position point on the PPFand indicate how many study hours youre planning to set-aside to complete yourcoursework in this class.
Discussion 02.2:Understanding and Using Demand and Supply
You will use this modelagain and again during our course, so having a clear understanding of it willbring you an immediate payoff. But muchmore important, by understanding and using the demand and supply model, youllhave a much better appreciation of how our economic world works. Therefore, share with your classmates howdemand and supply influence the prices of your favorite clothing, music, andfood items.
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