讲义 生产学习.pptx

《讲义 生产学习.pptx》由会员分享，可在线阅读，更多相关《讲义 生产学习.pptx（109页珍藏版）》请在得力文库 - 分享文档赚钱的网站上搜索。

1、Now Add Production.Add input markets,output markets,describe firms technologies,the distributions of firms outputs and profits Thats not easy!第1页/共109页ContentsA one-person economyOptimal outcomeCompetitive equilibriumTwo welfare theoremsNon-convex technologiesTwo-people economyProduction possibility

2、 frontierComparative advantagePareto efficient allocationCompetitive equilibrium第2页/共109页Robinson Crusoes EconomyOne agent,RC.Endowed with a fixed quantity of one resource-24 hours.Use time for labor(production)or leisure(consumption).Labor time=L.Leisure time=24-L.What will RC choose?第3页/共109页Robin

3、son Crusoes TechnologyTechnology:Labor produces output(coconuts)according to a concave production function.第4页/共109页Robinson Crusoes TechnologyProduction functionLabor(hours)Coconuts240第5页/共109页Robinson Crusoes TechnologyLabor(hours)CoconutsProduction function240Feasible productionplans第6页/共109页Robi

4、nson Crusoes PreferencesRCs preferences:coconut is a goodleisure is a good第7页/共109页Robinson Crusoes PreferencesLeisure(hours)CoconutsMore preferred240第8页/共109页Robinson Crusoes PreferencesLeisure(hours)CoconutsMore preferred240第9页/共109页Robinson Crusoes ChoiceLabor(hours)CoconutsFeasible productionpla

5、nsProduction function240第10页/共109页Robinson Crusoes ChoiceLabor(hours)CoconutsFeasible productionplansProduction function240Leisure(hours)240第11页/共109页Robinson Crusoes ChoiceLabor(hours)CoconutsFeasible productionplansProduction function240Leisure(hours)240第12页/共109页Robinson Crusoes ChoiceLabor(hours

6、)CoconutsFeasible productionplansProduction function240Leisure(hours)240第13页/共109页Robinson Crusoes ChoiceLabor(hours)CoconutsProduction function240Leisure(hours)240C*L*第14页/共109页Robinson Crusoes ChoiceLabor(hours)CoconutsProduction function240Leisure(hours)240C*L*Labor第15页/共109页Robinson Crusoes Choi

7、ceLabor(hours)CoconutsProduction function240Leisure(hours)240C*L*LaborLeisure第16页/共109页Robinson Crusoes ChoiceLabor(hours)CoconutsProduction function240Leisure(hours)240C*L*LaborLeisureOutput第17页/共109页Robinson Crusoes ChoiceLabor(hours)CoconutsProduction function240Leisure(hours)240C*L*LaborLeisureM

8、RS=MPLOutput第18页/共109页Competitive EquilibriumA firmProduce coconutsDemand laborA consumerDemand coconutsSupply laborEquilibriumMarket clears for coconutsMarket clears for labor第19页/共109页Competitive EquilibriumNow suppose RC is both a utility-maximizing consumer and a profit-maximizing firm.Use cocon

9、uts as the numeraire good;i.e.price of a coconut=$1.RCs wage rate is w.Coconut output level is C.Labor supply is L.第20页/共109页Robinson Crusoe as a FirmRCs firms profit is =C-wL.=C-wL C=+wL,the equation of an isoprofit line.Slope=+w.Intercept=.第21页/共109页Isoprofit LinesLabor(hours)Coconuts24Higher prof

10、it;Slopes=+w0第22页/共109页Profit-MaximizationLabor(hours)CoconutsFeasible productionplansProduction function240第23页/共109页Profit-MaximizationLabor(hours)CoconutsProduction function240第24页/共109页Profit-MaximizationLabor(hours)CoconutsProduction function240第25页/共109页Profit-MaximizationLabor(hours)CoconutsP

11、roduction function24C*L*Isoprofit slope=production function slope0第26页/共109页Profit-MaximizationLabor(hours)CoconutsProduction function24C*L*Isoprofit slope=production function slope i.e.w=MPL=1 MPL=MRPL.0第27页/共109页Profit-MaximizationLabor(hours)CoconutsProduction function24C*L*Isoprofit slope=produc

12、tion function slope i.e.w=MPL=1 MPL=MRPL.RC gets 0第28页/共109页Profit-MaximizationLabor(hours)CoconutsProduction function24C*L*Isoprofit slope=production function slope i.e.w=MPL=1 MPL=MRPL.Given w,RCs firms quantitydemanded of labor is L*LabordemandRC gets 0第29页/共109页Profit-MaximizationLabor(hours)Coc

13、onutsProduction function24C*L*Isoprofit slope=production function slope i.e.w=MPL.Given w,RCs firms quantitydemanded of labor is L*andoutput quantity supplied is C*.LabordemandOutputsupplyRC gets 0第30页/共109页Utility-MaximizationNow consider RC as a consumer endowed with$*who can work for$w per hour.W

14、hat is RCs most preferred consumption bundle?Budget constraint is第31页/共109页Utility-MaximizationLabor(hours)Coconuts240Budget constraint;slope=w第32页/共109页Utility-MaximizationLabor(hours)CoconutsMore preferred240第33页/共109页Utility-MaximizationLabor(hours)Coconuts240Budget constraint;slope=w第34页/共109页Ut

15、ility-MaximizationLabor(hours)CoconutsBudget constraint;slope=w240第35页/共109页Utility-MaximizationLabor(hours)Coconuts240C*L*MRS=wBudget constraint;slope=w第36页/共109页Utility-MaximizationLabor(hours)Coconuts240C*L*LaborsupplyBudget constraint;slope=wMRS=wGiven w,RCs quantitysupplied of labor is L*第37页/共

16、109页Utility-MaximizationLabor(hours)Coconuts240C*L*Given w,RCs quantitysupplied of labor is L*andoutput quantity demanded is C*.LaborsupplyOutputdemandBudget constraint;slope=wMRS=w第38页/共109页Utility-Maximization&Profit-MaximizationProfit-maximization:w=MPLquantity of output supplied=C*quantity of la

17、bor demanded=L*Utility-maximization:w=MRSquantity of output demanded=C*quantity of labor supplied=L*Coconut and labor markets both clear.第39页/共109页At Equilibrium Labor(hours)Coconuts24C*L*0MRS=w=MPLGiven w,RCs quantitysupplied of labor=quantitydemanded of labor=L*andoutput quantity demanded=output q

18、uantity supplied=C*.第40页/共109页Pareto EfficiencyMust have MRS=MPL.第41页/共109页Pareto EfficiencyLabor(hours)Coconuts240MRS MPL第42页/共109页Pareto EfficiencyLabor(hours)Coconuts240MRS MPLPreferred consumptionbundles.第43页/共109页Pareto EfficiencyLabor(hours)Coconuts240MRS=MPL第44页/共109页Pareto EfficiencyLabor(ho

19、urs)Coconuts240MRS=MPL.The common slope relative wage rate w that implements the Pareto efficient plan by decentralized pricing.第45页/共109页First Fundamental Theorem of Welfare EconomicsA competitive market equilibrium is Pareto efficient ifthere are no externalities in consumption or production.第46页/

20、共109页Second Fundamental Theorem of Welfare EconomicsAny Pareto efficient economic state can be achieved as a competitive market equilibrium ifconsumers preferences are convexfirms technologies are convex第47页/共109页Non-Convex TechnologiesDo the Welfare Theorems hold if firms have non-convex technologi

21、es?The 1st Theorem does not rely upon firms technologies being convex.第48页/共109页Non-Convex TechnologiesLabor(hours)Coconuts240MRS=MPL The common slope relative wage rate w that implements the Pareto efficient plan by decentralized pricing.第49页/共109页Non-Convex TechnologiesDo the Welfare Theorems hold

22、 if firms have non-convex technologies?The 2nd Theorem does require that firms technologies be convex.第50页/共109页Non-Convex TechnologiesLabor(hours)Coconuts240MRS=MPL.The Pareto optimal allocation cannot be implemented by a competitive equilibrium.第51页/共109页Production PossibilitiesResource and techno

23、logical limitations restrict what an economy can produce.The set of all feasible output bundles is the economys production possibility set(生产可能性集).The sets outer boundary is the production possibility frontier（生产可能性边界）.第52页/共109页Production PossibilitiesFishCoconutsProduction possibility frontier(ppf

24、)第53页/共109页Production PossibilitiesFishCoconutsProduction possibility frontier(ppf)Production possibility set第54页/共109页Production PossibilitiesFishCoconutsFeasible butinefficient第55页/共109页Production PossibilitiesFishCoconutsFeasible butinefficientFeasible and efficient第56页/共109页Production Possibilit

25、iesFishCoconutsFeasible butinefficientFeasible and efficientInfeasible第57页/共109页Production PossibilitiesFishCoconutsPpfs slope is the marginal rateof product transformation(边际生产转换率边际生产转换率),or marginal rate of transformation(边际转换率边际转换率).第58页/共109页Production PossibilitiesFishCoconutsPpfs slope is the

26、marginal rateof product transformation.Increasingly negative MRPT increasing opportunitycost to specialization.第59页/共109页Production PossibilitiesIf there are no production externalities then a ppf will be concave w.r.t.the origin.Why?Because efficient production requires exploitation of comparative

27、advantages(比较优势).第60页/共109页Comparative AdvantageTwo agents,RC and Man Friday(MF).RC can produce at most 20 coconuts or 30 fish.MF can produce at most 50 coconuts or 25 fish.第61页/共109页Comparative AdvantageFCFCRCMF20503025第62页/共109页Comparative AdvantageFCFCRCMF20503025MRPT=-2/3 coconuts/fish so opp.co

28、st of onemore fish is 2/3 foregone coconuts.第63页/共109页Comparative AdvantageFCFCRCMF20503025MRPT=-2/3 coconuts/fish so opp.cost of onemore fish is 2/3 foregone coconuts.MRPT=-2 coconuts/fish so opp.cost of onemore fish is 2 foregone coconuts.第64页/共109页Comparative AdvantageFCFCRCMF20503025MRPT=-2/3 co

29、conuts/fish so opp.cost of onemore fish is 2/3 foregone coconuts.MRPT=-2 coconuts/fish so opp.cost of onemore fish is 2 foregone coconuts.RC has the comparativeopp.cost advantage inproducing fish.第65页/共109页Comparative AdvantageFCFCRCMF20503025MRPT=-2/3 coconuts/fish so opp.cost of onemore coconut is

30、 3/2 foregone fish.第66页/共109页Comparative AdvantageFCFCRCMF20503025MRPT=-2/3 coconuts/fish so opp.cost of onemore coconut is 3/2 foregone fish.MRPT=-2 coconuts/fish so opp.cost of onemore coconut is 1/2 foregone fish.第67页/共109页Comparative AdvantageFCFCRCMF20503025MRPT=-2/3 coconuts/fish so opp.cost o

31、f onemore coconut is 3/2 foregone fish.MRPT=-2 coconuts/fish so opp.cost of onemore coconut is 1/2 foregone fish.MF has the comparativeopp.cost advantage inproducing coconuts.第68页/共109页Supplement:TradeFCFCRCMF20503025Autarky:Produce and consume at A.Trade:Both countries completely specialize.RC spec

32、ializes on Fish;MF specializes on coconuts.Produce at B and consume at C.Better off with trade.ABCABC第69页/共109页Supplement:Trade EquilibriumFCFCRCMF20503025Prices adjust to clear the markets.At equilibrium,export of one country=import of the other country for each product.oo第70页/共109页Comparative Adva

33、ntageFCEconomyFCFCRCMF2050302570555030Use RC to producefish before using MF.Use MF toproducecoconuts before using RC.第71页/共109页Comparative AdvantageFCEconomyFCFCRCMF2050302570555030Using low opp.costproducers first resultsin a ppf that is concave w.r.t the origin.第72页/共109页Comparative AdvantageFCEco

34、nomyMore producers withdifferent opp.costs“smooth out”the ppf.第73页/共109页Coordinating Production&ConsumptionThe ppf contains many technically efficient output bundles.Which are Pareto efficient?第74页/共109页Coordinating Production&ConsumptionFishCoconutsOutput bundle is第75页/共109页Coordinating Production&

35、ConsumptionFishCoconutsOutput bundle isand is the aggregateendowment for distribution to consumers RC and MF.第76页/共109页Coordinating Production&ConsumptionFishCoconutsORCOMFOutput bundle isand is the aggregateendowment for distribution to consumers RC and MF.第77页/共109页Coordinating Production&Consumpt

36、ionFishCoconutsORCOMFAllocate efficiently;say to RC第78页/共109页Coordinating Production&ConsumptionFishCoconutsORCOMFAllocate efficiently;say to RC and to MF.第79页/共109页Coordinating Production&ConsumptionFishCoconutsORCOMF第80页/共109页Coordinating Production&ConsumptionFishCoconutsORCOMF第81页/共109页Coordinat

37、ing Production&ConsumptionFishCoconutsORCOMF第82页/共109页Coordinating Production&ConsumptionFishCoconutsORCOMFMRS MRPT第83页/共109页Coordinating Production&ConsumptionFishCoconutsORCOMFOMFInstead produce第84页/共109页Coordinating Production&ConsumptionFishCoconutsORCOMFOMFInstead produce第85页/共109页Coordinating

38、Production&ConsumptionFishCoconutsORCOMFOMFInstead produceGive MF same allocation as before.第86页/共109页Coordinating Production&ConsumptionFishCoconutsORCOMFOMFInstead produceGive MF same allocation as before.MFs utility is unchanged.第87页/共109页Coordinating Production&ConsumptionFishCoconutsORCOMFOMFIn

39、stead produceGive MF same allocation as before.MFs utility is unchanged第88页/共109页Coordinating Production&ConsumptionFishCoconutsORCOMFOMFInstead produceGive MF same allocation as before.MFs utility is unchanged第89页/共109页Coordinating Production&ConsumptionFishCoconutsORCOMFOMFInstead produceGive MF s

40、ame allocation as before.MFs utility is unchanged,RCs utility is higher第90页/共109页Coordinating Production&ConsumptionFishCoconutsORCOMFOMFInstead produceGive MF same allocation as before.MFs utility is unchanged,RCs utility is higher;Pareto improvement.第91页/共109页Coordinating Production&ConsumptionMRS

41、 MRPT inefficient coordination of production and consumption.Hence,MRS=MRPT is necessary for a Pareto optimal economic state.第92页/共109页Coordinating Production&ConsumptionFishCoconutsORCOMF第93页/共109页Decentralized Coordination of Production&Consumption RC and MF jointly run a firm producing coconuts a

42、nd fish.RC and MF are also consumers who can sell labor.Price of coconut=pCPrice of fish=pFRCs wage rate=wRCMFs wage rate=wMF第94页/共109页Decentralized Coordination of Production&ConsumptionLRC,LMF are amounts of labor purchased from RC and MF.Firms profit-maximization problem is choose C,F,LRC and LMF

43、 to第95页/共109页A SimplificationSuppose labor market equilibrium is already achieved.Allows us to focus on the product market.Technically,can simultaneously look at all the marketsFirm:two outputs,two inputs.Crusoe or Friday:two consumer goods,one leisure good.4 markets clear simultaneously.Fish;coconu

44、ts;Crusoes labor;Fridays labor第96页/共109页Decentralized Coordination of Production&ConsumptionIsoprofit line equation is第97页/共109页Decentralized Coordination of Production&ConsumptionIsoprofit line equation iswhich rearranges to第98页/共109页Decentralized Coordination of Production&ConsumptionIsoprofit lin

45、e equation iswhich rearranges to第99页/共109页Decentralized Coordination of Production&ConsumptionFishCoconutsHigher profitSlopes=第100页/共109页Decentralized Coordination of Production&ConsumptionFishCoconutsThe firms productionpossibility set.第101页/共109页Decentralized Coordination of Production&Consumption

46、FishCoconutsSlopes=第102页/共109页Decentralized Coordination of Production&ConsumptionFishCoconutsProfit-max.planSlopes=第103页/共109页Decentralized Coordination of Production&ConsumptionFishCoconutsProfit-max.planSlope=第104页/共109页Decentralized Coordination of Production&ConsumptionFishCoconutsProfit-max.pl

47、anSlope=Competitive marketsand profit-maximization第105页/共109页Decentralized Coordination of Production&ConsumptionFishCoconutsORCOMFCompetitive marketsand utility-maximization 第106页/共109页Decentralized Coordination of Production&ConsumptionFishCoconutsORCOMFCompetitive markets,utility-maximization and profit-maximization 第107页/共109页Decentralized Coordination of Production&ConsumptionSo competitive markets,profit-maximization,and utility maximization all together causethe condition necessary for a Pareto optimal economic state.第108页/共109页感谢您的观看！第109页/共109页