1. Market Imperfections & Policy
April 1, 2013

2. Extra Credit for the Brave
• The first person to volunteer to explain Econ 1
in less than one minute to the rest of the
classgets +10% extra credit.

3. April Fool’s: No extra credit
• I just made somebody look very silly.
• Thanks anyway – Econ 2 begins with Econ 1

4. Syllabus & Website
• Tour of syllabus
• econ2ucsd.worpress.com
– Everything will be posted there, along with my
observations before & after class

5. Producer surplus
• Review
• What is the minimal amount you would be willing
to accept for an hour of labor? Write it down,
along with a sentence describing your reasoning.
• Form a group of five and compare your wages.
How do they differ? Why do they differ?
• Draw a Supply of Labor graph for your group.
• What is the total producer surplus of your group
if the going wage is equal to your group’s highest
wage?