Production and consumption
Understand the relationship between individuals involved in the production and consumption functions and the impact of their behaviour on the market.
What’s it about?
Microeconomics is the branch of economics that pertains to decisions made at the individual level. In this micro-course you will interpret how the choices made through production and consumption activities impact on the viability of markets and the well-being of individuals.
What will I learn?
Upon successful completion of this course, you will be able to:
- identify the maximizing behavior of individuals in the market;
- identify the behavior of individuals when markets fail;
- apply the concept of marginal analysis in order to make optimal choices, and identify whether the choices are efficient or equitable;
- analyze the causes and reasons for income inequality;
- analyze the behavior of the producer;
- compare the costs of production in the short run to costs of production in the long run;
- identify the production function in the short run as well as the long run; and
- compute the relationship between different cost functions.
This micro-course is offered online for independent study or you can join an international community of learners in gaining a better understanding of the principles of microeconomics.
There are three learning pathways each containing numerous resources, activities, and learning challenges. The learning pathways are:
- Markets and individual maximising behaviour
- The consumer
- The producer.
This micro-course forms part of the larger Principles of Microeconomics course of study coupled with MIEC101 and MIEC103. On completion of the three associated micro-courses, if learners wish, they can be assessed for academic credit.
Anyone is free to participate in this course. An internet connection and basic web browsing skills are recommended with the ability to create a blog and use online communication technologies account (instructions and self-study tutorials provided). You are requested to keep a personal learning journal as reflection has been shown to increase learning markedly.
Learners preparing for assessment for formal academic credit will need to meet the normal university admission requirements of the conferring institution.
Image credit: Money grows and money jar, by nattanan23 dedicated to the public domain.