markets & income determination - chapter 12

7/26/2019 Markets & Income Determination - chapter 12

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How Markets Determine

Incomes

Chapter 12


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Topics

Facts about income and wealth

Marginal productivit ! input pricing

Factor prices ! income distribution


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Facts about income ! wealth

Facts about income distribution

" Factor incomes vs personal incomes

" #oles o$ government

#edistribution

%ocial services

Facts about wealth

" &ealth distribution " cumulative e$$ects


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Chapter 12

Table 12-1


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The %hare o$ 'abor in (ational

Income

Chapter 12

Figure 12-1


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Chapter 12

Table 12-2


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Marginal productivit ! inputs

(ature o$ $actor demand" Demand $or $actors

derived demands

interdependent" Marginal revenue product ! distribution

Marginal revenue product) de$ined" *er$ect competition

" Imper$ect competition

Demand $or $actors production" *er$ect competition

" Imper$ect competiton

" 'east+cost rule

Demand $or $actors


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Demand $or Factors Is Derived

$rom Demand $or ,oods The

*roduce

Chapter 12

Figure 12-2


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Chapter 12

Table 12-3


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Demand $or Inputs Derived through

Marginal #evenue *roducts

Chapter 12

Figure 12-3


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Marginal productivit ! input

demand) cont-d..

%uppl o$ $actors

" 'abor

" Capital ! investment

%uppl ! demand o$ $actors


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%uppl Curve $or

Factors o$ *roduction

Chapter 12

Figure 12-4


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Factor %uppl and Derived Demand Interact to

Determine Factor *rices and Income Distribution

Chapter 12

Figure 12-5


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The Markets $or %urgeons and

Fast+Food &orkers

Chapter 12

Figure 12-6


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Di$$erences in Total #eturns to

&ealth

Chapter 12

Figure 12-7

C 12


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Marginal *roduct *rinciples

Determine Factor Distribution o$

Income

Chapter 12

Figure 12-8

Ch 12


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Chapter 12

Table 12-4

markets & income determination - chapter 12

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