Microeconomic theory often yields models with multiple nonlinear equations, nonseparable unobservables, nonlinear cross equation restrictions, and many potentially multicolinear covariates. We show ...

Discover four key economic concepts: scarcity, supply and demand, costs and benefits, and incentives. Learn how they affect consumer choices and financial decisions.

When you start a small business, you quickly learn that you survive by meeting customer demand. The patterns in that demand can seem mysterious at first, but if you familiarize yourself with the ideas ...

An Excel workbook called DemandCurve.xls provides a simple example of how to use Solver and the Comparative Statics Wizard to set up a standard consumer theory optimization problem and then derive a ...