[Verse 1] When buyers meet the sellers in the market square Supply slopes up and demand falls down with care Where the lines cross that's equilibrium's home Price and quantity find where they belong Elasticity tells us how much things will bend When prices change will spending fall or ascend [Chorus] Micro fundamentals running through your mind Supply and demand and elasticity combined From perfect competition to monopoly's reign Market structures help explain the economic game Maximize utility subject to constraint That's the micro manager's guiding saint [Verse 2] Consumers maximize their satisfaction score With budget lines and curves they can't ignore Indifference curves show equal utility While producers minimize cost religiously Marginal revenue equals marginal cost That's profit maximization never lost [Chorus] Micro fundamentals running through your mind Supply and demand and elasticity combined From perfect competition to monopoly's reign Market structures help explain the economic game Maximize utility subject to constraint That's the micro manager's guiding saint [Verse 3] Perfect competition makes you take the price Zero economic profit ain't so nice Monopolies create deadweight loss so clear Barriers to entry keep competitors in fear Oligopoly means strategic thinking rules Game theory gives us all the needed tools [Bridge] Nash equilibrium where no one wants to deviate Prisoner's dilemma shows cooperation's fate Dominant strategies make decisions clean Price discrimination captures surplus unseen Network effects and winner-take-all Platform economics standing ten feet tall [Verse 4] Externalities impose costs on others' lives Pigouvian taxes help the market thrive Asymmetric information breeds adverse selection Moral hazard needs proper detection Signaling and screening reveal what's true Transaction costs determine what firms should do [Chorus] Micro fundamentals running through your mind Supply and demand and elasticity combined From perfect competition to monopoly's reign Market structures help explain the economic game Maximize utility subject to constraint That's the micro manager's guiding saint [Outro] Make or buy decisions using Coase's theorem Auction theory helps you strategize and score them From bundling strategies to peak-load pricing schemes Microeconomics builds your management dreams
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