Shifting the curve

Hello:

Yes, we are reading about demand and supply curve. I was having a hard time memorizing how the factors affecting demand and supply change the graph. Some change along the curve and some shift the whole curve. Having the same problem of memorizing them? No worries, I found a solution. The factors that are not measured in either axis shifts the curve and the factors that are measured in the x and y axis (mostly, quantity and price) move along the curve. Thus, factors like income, expectations, taste shift the entire demand curve whereas change in price or quantity supplied move along the curve. 

Besides that quick and useful tip, I am excited about the new book, Capital in the Twenty-First Century by Thomas Piketty. Everyone is talking about it, unfortunately I haven't been able to read the book. It is sold out in amazon and lots of good reviews are being published daily on various newspapers. Waiting for it to come in amazon soon.  

Hope to have a more productive May! 

-Ciao! 

Market Equilibrium

Hello:

Lat week it was all about market equilibrium, finding the correct point between supply and demand. It is basically a market point where supply is equal to the demand and other economic variables do not change. Thinking of a market like that? It is as ideal as having a perfect competition.

I wondered if it wasn't real  why are we studying about it, after all economics is the study of managing scare resources for unlimited want. (Pretty much all reality). However, these model of market equilibrium help us understand the complex ideas of reality. All the other ideas are based on these basic models.  We have to start some where so, perfect condition is the best place to keep us moving.

Talking about ideal behavior, I should be doing my math now.

:)

Learning while having fun.

Hello

Even though I enjoy reading economics, sometimes it pretty hard for me focus. I tend to day dream and think about all sort of things. Like me, most students also have same problems. Thus, last day I came across an amazing you tube video. This video is full of so many information and its amazing to watch and learn.

YouTube Chanel named, Econ-stories has lots of interesting videos. In  school I am currently learning about Hayek and Keyness's theory, they have two videos for that. It is worth checking out. I have included the Link .  For me, learning through those video was like a blow of fresh air. Still humming the rap in my mind while writing this. :)

Although I found these amazing videos to learn, I have to do my homework the same way, (Argh!) had only found a way of doing homework using rap videos.


~ciao!

More outside information.

Hello:

Besides going to my class everyday, I also like keep up with the economics news around me.
I sometimes like to read , "The Wall Street Journal" and "The Economist" to keep myself updated. Even though I do not understand most of the stuff but I try to grasp as much as possible. As for other information I really like Professor Mankiw's blog. I recommend going through his blogs there are great information for aspiring economist.

Today I encountered a quote by Henry Hazlitt, writer of Economics in One Lesson (1946). "Economics is haunted by more fallacies than any other study known to man." This quote has made me think for a while, I hope it does the same for you!


More to come!
Dikshya

Why I like Economics?

4/21/2014

Why I like Economics? 

Simply, it amazes me. This is the most practical subject I have ever came across. I have taken 2 years of Physics, Chemistry and Biology in my high school but  none of these ever appealed to me as economics does. So far, the concepts of Economics are easy and have wide application. I could be doing anything right now with my time but blogging however, that fact that I am choosing  to blog is also explained by a simple concept in economics. 

The concept of opportunity cost. The opportunity cost is the cost that you give up to do something. For me I am giving up my study time now and instead blogging. You are giving up your time to read my blog when you could be doing anything now, not suggesting you to stop. Everyone is giving up something for the actions they are taking now. 

These concept are universal, and hold truth. However, Netwon's gravitational force also does the same, explains the concept that is universal and applied everywhere but then people's behavior cannot change it. In economics, how we choose to behave may vary the outcome so it is also studying people's decisions at the same time. 

Again, it simply amazes me.