Supply

AP Economics Home Page

INTRODUCTION

This lesson covers Topic 2.2 in the AP Syllabus. Today we will learn about supply.

Learning Target

• • Analyze the ways in which incentives influence what is produced and distributed in a market system.

  • Evaluate the extent to which competition among sellers and among buyers exists in specific markets.

  • Describe the consequences of competition in specific markets.

Criteria for Success

• I will be able to use ideas related to supply to analyze economic problems.

• I will be able to demonstrate this understanding using a graph of the aforementioned model.

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HOMEWORK DUE TODAY

Assignments

1. Read Krugman (Module 6).

2. Watch: The video lecture for today's topic (linked above)

3. Optional: The videos linked below.

• • The Law of Supply and the Determinants of Supply

  • Increasing Costs and the Upward Slope of the Supply Curve

  • This is a really simple explanation of why the supply curve is upward sloping.

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ASSESSMENTS AND ACTIVITIES

Formative Assessment (MCQ's): You will take a formal assessment during class. The assessment will consist of multiple-choice questions and one FRQ from an old AP Exam. Doing the problem of the day and ensuring that you understand it will help you prepare for today's formative assessment and help to ensure that you understand the concepts in this lesson.

Problem of the Day: Define supply and explain why the supply curve is upward sloping. Then use a diagram to explain the effect of an increase in the price of steel on the market for automobiles.