Demand, supply and the price mechanism in linked markets

What this note covers

1. The law of demand and the demand curve
2. The law of supply and the supply curve
3. Finding equilibrium: excess demand and excess supply
4. What shifts demand: the non-price determinants
5. What shifts supply: the non-price determinants
6. Linked markets: substitutes, complements and shared inputs
7. Worked example: raw wool and wool jumpers
8. How this topic is examined and what earns full marks

8 sections · 12 key terms & formulas · 6 common mistakes