Permintaan Hicksian dan Marshallian

Summary

This session explores the concepts of Marshallian and Hicksian demand curves, contrasting their approaches to consumer behavior. Marshallian demand is depicted as maximizing utility with a fixed income, while Hicksian demand involves minimizing income spent to maintain a constant utility. The example of A's choices between apples and oranges at varying prices illustrates these concepts, showing how total utility and required income differ between the two theories. The session also hints at the theoretical connections to substitution and income effects, promising further exploration in upcoming videos.

Takeaways

• 📈 The demand curve represents the quantity of a good that consumers are willing and able to purchase at various prices, with income as the constant.
• 🍎 Marshallian demand is derived from the consumer maximizing utility subject to a fixed income, showing how quantity demanded changes with price.
• 🍊 Hicksian demand, on the other hand, is derived from the consumer minimizing expenditure while achieving a given level of utility, showing how quantity demanded changes with price while utility is held constant.
• 🔄 The difference between Marshallian and Hicksian demand curves lies in the constraints: income is constant in Marshallian, while utility is constant in Hicksian.
• 💰 In the Marshallian framework, as the price of apples decreases, the consumer buys more apples and fewer oranges, maximizing utility with a fixed budget.
• 🔄 In the Hicksian framework, with a utility level held constant, a decrease in the price of apples leads to a decrease in the quantity of oranges bought, minimizing the budget required to achieve the same utility.
• 📉 The Marshallian demand curve shifts due to changes in prices and income, reflecting the substitution and income effects on consumer choices.
• 📊 The Hicksian demand curve is invariant to changes in prices, as it represents the minimum expenditure required to achieve a given level of utility, showing only the substitution effect.
• 📚 Understanding the distinction between Marshallian and Hicksian demands is crucial for analyzing consumer behavior and the effects of price changes on market demand.
• 🔗 The concepts of Marshallian and Hicksian demands are closely related to the substitution and income effects, which will be explored further in subsequent educational content.

Q & A

What is the basic concept of a demand curve?

A demand curve represents the quantity of a good that a consumer is willing and able to purchase at various prices, holding all other factors constant. It is typically plotted with the quantity demanded on the x-axis and the price on the y-axis.

What is Marshallian demand?

Marshallian demand is a demand curve that is derived from a consumer maximizing their utility subject to a fixed income constraint. It assumes that the consumer's utility is maximized by spending their entire income on goods.

How does the Marshallian demand curve differ from the Hicksian demand curve?

The Marshallian demand curve is based on utility maximization with a fixed income, while the Hicksian demand curve is based on minimizing the expenditure needed to achieve a given level of utility.

What is Hicksian demand?

Hicksian demand is a demand curve that is derived by minimizing the consumer's expenditure (or budget) while maintaining a constant level of utility. It focuses on how consumers adjust their spending to maintain a certain level of satisfaction when prices change.

What is the significance of the utility function in the context of Marshallian demand?

In the context of Marshallian demand, the utility function helps determine the optimal quantity of goods to purchase given a fixed income, with the goal of maximizing total utility.

Why is the concept of income effect important in understanding Marshallian demand?

The income effect is important in understanding Marshallian demand because it reflects the change in the quantity demanded of a good when its price changes, leading to a change in the consumer's real income, which in turn affects the quantity demanded.

Can you explain the substitution effect in the context of Hicksian demand?

In the context of Hicksian demand, the substitution effect refers to the change in the quantity demanded of a good as its price changes, given that the consumer maintains the same level of utility. It captures how consumers substitute between goods in response to price changes.

How does the total budget change when the price of apples decreases in the Marshallian scenario?

In the Marshallian scenario, when the price of apples decreases, the total budget remains fixed at 20,000. However, the consumer can now purchase more apples without changing the total expenditure.

What is the utility obtained by consumer A when they buy 1 apple and 2 oranges in the Marshallian scenario?

In the Marshallian scenario, when consumer A buys 1 apple and 2 oranges, the utility obtained is 20, calculated as (1 apple * 10 utility per apple) + (2 oranges * 5 utility per orange).

How does the Hicksian demand curve account for changes in prices while maintaining utility?

The Hicksian demand curve accounts for changes in prices by adjusting the quantities of goods demanded to ensure that the utility remains constant, even as the total expenditure changes due to price variations.

What is the total budget needed for consumer A to maintain the same utility when the price of apples drops in the Hicksian scenario?

In the Hicksian scenario, when the price of apples drops, the total budget needed to maintain the same utility decreases from 20,000 to 10,000, as the consumer can achieve the same utility with fewer resources.