INTERMEDIATE MICROECONOMICS- VARIAN FREE

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The conventional first chapter of a microeconomics book is a discussion of the “scope and methods” of economics. Although this material can be very interesting, it hardly seems appropriate to begin your study of economics with such material. It is hard to appreciate such a discussion until you have seen some examples of economic analysis in action. So instead, we will begin this book with an example of economic analysis. In this chapter we will examine a model of a particular market, the market for apartments. Along the way we will introduce several new ideas and tolos of economics. Don’t worry if it all goes by rather quickly. This chapter is meant only to provide a quick overview of how these ideas can be used. Later on we will study them in substantially more detail