The Economy 2.0: Microeconomics — Unit 8, Supply and Demand
by CORE Econ project (Bowles, Carlin, et al.) · CORE Econ
Unit 8 of CORE's open-access textbook The Economy 2.0. Develops supply and demand from individual willingness to pay and marginal cost, derives competitive equilibrium, then asks where the price-taking model actually holds and where it fails. It opens with the US Civil War cotton blockade to show prices transmitting information across continents, then builds the model formally, and — unusually — devotes section 8.10 to whether the competitive supply-and-demand model is a good model at all.
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