Solving models with two markets

[pmichaillat]

Among this week's lecture videos, videos 84–87 explain how to solve a model with not one but two equations and two variables. This is more complicated than what we have seen so far, because until now the models could be reduced to just one equation (supply = demand) and one variables (market tightness).

The models by @DizhiWang and @DrishanBanerjee have two markets with two tightnesses. So the techniques developed in videos 84–87 might be helpful to establish that your model always has a solution, that the solution is unique, and then to perform comparative statics.

[DrishanBanerjee]

Thank you for the advice! Will definitely look into it.

[DizhiWang]

Thank you very much!!!!