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Are the graphs in Economics complicated?


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Hey.

Yesterday, I took a quick look at the Economics book that we use in our school. The text seems relatively easy and straightforward, but some of the graphs seem kind of complicated. I've talked to some Economics students and they say that the graphs are relatively easy to remember and understand. So, now I'd like to ask you people in this forum what you think about the graphs in Economics?! :P Maybe they just seem difficult to me because I don't know the basic concepts behind them??

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So far the Supply and Demand, Total Revenue, Marginal revenue, Long Run Average Cost and Short Run Average Cost curves have been quite easy, helpful. So I'd say they make it easier rather than harder :D

Deissi seems to be focusing on microeconomic graphs, I just thought I would extend it to saying that the graphs are helpful through macroeconomics as well, they make it very simple to understand why things such as inflation and unemployment occur. The graphs definitely make things easier rather than harder, because they help to make the connection between various factors that affect something, such as why low interest rates and tax cuts decrease unemployment.

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Deissi seems to be focusing on microeconomic graphs, I just thought I would extend it to saying that the graphs are helpful through macroeconomics as well, they make it very simple to understand why things such as inflation and unemployment occur. The graphs definitely make things easier rather than harder, because they help to make the connection between various factors that affect something, such as why low interest rates and tax cuts decrease unemployment.

hehe, just pointing out: I'm a M09 candidate and we've only covered microeconomics so I don't know eny macroeconomic graphs :P

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the coolest (and the WEIRDEST!) graphs i remember from econ sl were the quotas, and tariffs and so on...when i first looked at them, my mind was BLOWN AWAY!! they looked kinda confusing to me...but when our teacher actually explained them to us...i was kinda surprised how simple they were...it only takes a good teacher to easily explain ANY concept in econ...and once u understand them, then u're set...gluck with econ!

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Hey.

Yesterday, I took a quick look at the Economics book that we use in our school. The text seems relatively easy and straightforward, but some of the graphs seem kind of complicated. I've talked to some Economics students and they say that the graphs are relatively easy to remember and understand. So, now I'd like to ask you people in this forum what you think about the graphs in Economics?! :lol: Maybe they just seem difficult to me because I don't know the basic concepts behind them??

dude....relax about the graphs......they r rly easy.

Trust me.....all u need to know is to understand the concept behind these graphs (supply, demand, elasticity etc etc..) once u understand sever fundamental graphs.....u will easily get all the other graphs (they r related....so be sure to have good basics).

It is also true that some graphs get complicated and look busy but that is because they are tyring to depict a lot of information.....so ur teacher will tell u wat each line, curve, intersection, area rly means......so relax.....and dun wrry about them........learn the concepts and learn how they are related...

k ...bye

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  • 2 weeks later...
the coolest (and the WEIRDEST!) graphs i remember from econ sl were the quotas, and tariffs and so on...when i first looked at them, my mind was BLOWN AWAY!! they looked kinda confusing to me...but when our teacher actually explained them to us...i was kinda surprised how simple they were...it only takes a good teacher to easily explain ANY concept in econ...and once u understand them, then u're set...gluck with econ!

I thought the Wage Spiral graph was really complicated, but it makes sense, like you said, once a good teacher explains it to you. To the original poster: don't worry about the graphs, even though its the biggest part of Economics. After using information (numbers) to describe the graph, it will all become fairly easy. :)

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If you don't know the concept, the graphs seem really challenging

but once you learn it, its really easy because most of the econ things are

interrelated.. making it easier to understand other concepts easier once you know the basics

same with graphs :)

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At first I had a really hard visualizing graphs and how it worked when we started in Microeconomics but now it's the graphs that are really helping me through the rest of the concepts. By just understanding the graphs, the rest of the terms and concepts kinda follow up as support. Anyways, econ is pretty easy for me (except for the beginning) because of the graphs and the graphs aren't all that complicated once you have them explained in detail. Plus graphs tend to repeat themselves and build upon the same concepts. Think supply-and-demand and short term aggregate supply/demand.

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  • 2 weeks later...

Th economic graphs aren't that hard to understand. My Econ teacher always gives us the basic graph, like the demand and supply curve or the monopoly graph. Then she would continue adding more complicated lines in it like the marginal revenue...etc. The most confusing part I find is the dead weight loss. I still don't really know what that is.

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Dead weight loss is when there is an externality on something and the curve shifts due to it. If a tax is imposed to meet the externality (hence equal the amount of the externality), the negative effect of the externality is covered. However, when you calculate the revenue of different stakeholders, there will remain an area (triangle) with revenue which no-one will gain. This is the area for dead weight loss. It's basically revenue no-one can gain due to an externality.

Not sure if that helped, but hope so.

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Guest econtijoch

The best thing about economics, is that it all makes sense... it's a very logical field of study. One thing leads to another (a certain action causes a shift, the shift causes prices/quantities to change, etc.) and every graph is distinct enough that you'll rarely misuse a graph in a situation.

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I think most of them are pretty straightforward...but i m in SL and haven't done theory of the firm which seems to have complicated graphss

They aren't that complicated either, but they do require more thinking. In my opinion theory of the firm is a lot more difficult than SL microeconomics, but it's still easily doable.

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  • 3 months later...

I used to hate graphs, but a few weeks ago, everything just clicked for me! Now it's fine, and I get all the graphs fine. I think if you get your head around the basic theory behind it, and are used to seeing the graphs, it will happen naturally.

Theory of the firm (HL) is most definitely the most annoying topic for graphs, but thats not saying much. You just need to remember the intersections e.g. MC=MR for max profit etc. and then you're fine. One's you've seen and drawn them once or twice, it shouldn't be an issue.

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