Microeconomics For Dummies, 2nd U.S. Edition

Find easy-to-follow coverage of microeconomics basics Microeconomics For Dummies, 2nd U.S. Edition demystifies the complex world of microeconomics, offering down-to-earth explanations and real-world applications that make microeconomics make sense to everyone. This guide tackles a question that drives much of the world around us: how do people and firms make economic decisions every day? This useful resource transforms intimidating economic theory into understandable, practical knowledge—covering everything from consumer behavior and company decision-making to market structures and welfare economics. You’ll find: Understand consumer theory, inputs and outputs, welfare economics as a whole and more Coverage of making economic choices under uncertainty, with info explaining decision-making in unpredictable situations A look into trade and comparative advantages, showing how microeconomics drives global commerce Perfect for college students taking microeconomics courses looking for a reliable study companion, business professionals trying to better understand market dynamics, and everyday people who just want to understand the world a little better, Microeconomics For Dummies will help you understand why prices change, markets fluctuate, and businesses behave the way they do.

INTRODUCTION 1 About This Book 2 Foolish Assumptions 2 Icons Used in This Book 3 Beyond the Book 4 Where to Go from Here 4 PART 1: GETTING STARTED WITH MICROECONOMICS 5 CHAPTER 1: Discovering Why Microeconomics Is a Big Deal 7 CHAPTER 2: Considering Consumer Choice: Why Economists Find You Fascinating 15 CHAPTER 3: Looking at the Behavior of Firms: What They Are and What They Do 27 PART 2: DOING THE BEST YOU CAN: CONSUMER THEORY 39 CHAPTER 4: Living a Life without Limits 41 CHAPTER 5: Considering the Art of the Possible: The Budget Constraint 51 CHAPTER 6: Achieving the Optimum despite Constraints 63 PART 3: UNCOVERING THE ALCHEMY OF FIRMS' INPUTS AND OUTPUTS 81 CHAPTER 7: Working with Different Costs and Cost Curves 83 CHAPTER 8: Squeezing Out Every Last Drop of Profit 101 CHAPTER 9: Supplying the Demanded Information on Supply and Demand 115 CHAPTER 10: Dreaming of the Consumer's Delight: Perfect Competition 137 PART 4: DELVING INTO MARKETS, MARKET FAILURE, AND WELFARE ECONOMICS 149 CHAPTER 11: Appreciating the Fundamental Theorems of Welfare Economics 151 CHAPTER 12: Exploring the Monopoly Game 165 CHAPTER 13: Stepping into the Real World: Oligopoly and Imperfect Competition 183 CHAPTER 14: Examining Market Failure: Pollution 201 CHAPTER 15: Taking Risks — Choosing under Uncertainty 215 PART 5: THINKING STRATEGICALLY: LIFE IS JUST A GAME 231 CHAPTER 16: Playing Games with Economic Theory 233 CHAPTER 17: Mixing and Timing: Exploring the Nash CHAPTER 18: Revealing Information: Auctions and Signaling 265 CHAPTER 19: Trading Places 279 PART 6: THE PART OF TENS 293 CHAPTER 20: Ten Great Microeconomists of the INDEX 313