Example
represents a straight line whose slope is 3
3
The equation
and whose ‐intercept is ‐4
4 .
Note that the and variables are arbitrary. They could have just as easily been
named and , as it is the case in supply and demand curve. It is important to
determine which of these variables constitutes the independent variable (which
we place on the horizontal axis) and which constitutes the dependent
variable(which we place on the vertical axis).
2. How to obtain a straight line equation
We will often need to find the equation of a straight line, given certain
information. For example, what is the equation of the line passing points (1,4)
and 2,8 ? In order to answer this question, one needs to find the values of
and that describe the straight line.
1. Determine the slope
By definition, the slope is measured by the relation
∆
∆
The slope of the line passing by (1,4) and (2,8) would be
∆
8
4
4
∆
2
1
which indicates that for a move of one unit to the right, there is a move of 4 units
upwards. Also note that the choice of the "first" and the "second" point will not
affect the calculation of the slope:
∆
4
8
4
∆
1
2
2. Find the –intercept
In order to find the value of , one must use a known point of the line and the
slope we just determined:
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