Microeconomics Exam
Quiz yourself by thinking what should be in
each of the black spaces below before clicking
on it to display the answer.
Help!
|
|
||||
|---|---|---|---|---|---|
| Economic costs | show 🗑
|
||||
| Explicit costs | show 🗑
|
||||
| Implicit costs | show 🗑
|
||||
| show | The total revenue of a firm less its explicit costs; the profit (or net income) that appears on accounting statements for tax purposes.
🗑
|
||||
| Normal profit | show 🗑
|
||||
| show | The return flowing to those who provide the economy with the economic resources of entrepreneurial ability; the total revenue of a firm less its economic costs (which include both implicit and explicit costs).
🗑
|
||||
| Short run | show 🗑
|
||||
| show | A period of time long enough to enable producers of a product to change the quantities of all the resources they employ, so that all resources and costs are variable and none are fixed.
🗑
|
||||
| show | The total output of a particular good or service produced by a firm (or group of firms in the entire economy)
🗑
|
||||
| Marginal product (MP) | show 🗑
|
||||
| show | The total output produced per unit of a resource employed (total product divided by the quantity of that employed resource)
🗑
|
||||
| Law of diminishing returns | show 🗑
|
||||
| show | Any cost that in total does change when a firm changes its output.
🗑
|
||||
| Variable costs | show 🗑
|
||||
| show | The sum of fixed costs and variable costs.
🗑
|
||||
| Average fixed cost (AFC) | show 🗑
|
||||
| show | A firm's total variable costs divided by its output.
🗑
|
||||
| Average total cost (ATC) | show 🗑
|
||||
| show | The extra (additional) cost of producing 1 more unit of output.
🗑
|
||||
| Economies of scale | show 🗑
|
||||
| show | When a firm's ATC of producing a product increases in the long run as a firm increases its output.
🗑
|
||||
| show | When a firm's ATC of producing a product remains unchanged in the long run as a firm varies the size of its output.
🗑
|
||||
| Minimum efficient scale (MES) | show 🗑
|
||||
| show | An industry in which economies of scale are so great that a single firm can produce the industry's product at a lower ATC than it would be possible if more than one firm produced the product.
🗑
|
||||
| show 🗑
|
|||||
| Pure competition | show 🗑
|
||||
| Pure monopoly | show 🗑
|
||||
| show | Many firms sell a differentiated product; entry is relatively easy; some control over price;
🗑
|
||||
| Oligopoly | show 🗑
|
||||
| show | All market structures except pure competition; includes monopoly, monopolistic competition and oligopoly.
🗑
|
||||
| show | A seller (or buyer) that is unable to affect the price at which a product or resource sells by changing the amount it sells (or buys).
🗑
|
||||
| show | Total revenue from the sale of a product divided by the quantity of the product sold.
🗑
|
||||
| Total revenue (TR) | show 🗑
|
||||
| Marginal revenue | show 🗑
|
||||
| show | An output at which a firm makes a normal profit (total revenue=total cost) but not an economic profit.
🗑
|
||||
| show | The principle that a firm will maximize its profit (or minimize its losses) by producing at the output marginal revenue and marginal cost are equal, provided that product price is equal to or higher than AVC.
🗑
|
||||
| Short-run supply curve | show 🗑
|
||||
| show | Price vs. quantities of a product in the long run.
🗑
|
||||
| show | Entry and exit of firms have no effect on prices of the prices firms in the industry must pay for resources and thus no effect on production costs.
🗑
|
||||
| Increasing-cost industry | show 🗑
|
||||
| Decreasing-cost industry | show 🗑
|
||||
| Productive efficiency | show 🗑
|
||||
| Allocative efficiency | show 🗑
|
||||
| show | The difference between the maximum price a consumer is willing to pay for an additional unit of a product and its market price.
🗑
|
||||
| show | The difference between the actual price a producer receives and the minimum acceptable price.
🗑
|
||||
| show | Hypothesis that the creation of new products and production methods destroys the market power of existing monopolies.
🗑
|
||||
| show |
🗑
|
||||
| Barriers to entry | show 🗑
|
||||
| Simultaneous consumption | show 🗑
|
||||
| Network effects | show 🗑
|
||||
| X-inefficiency | show 🗑
|
||||
| show | The actions by persons, firms, or unions to gain special benefits from government at the taxpayers' expense or someone else's expense.
🗑
|
||||
| Price discrimination | show 🗑
|
||||
| Socially optimal price | show 🗑
|
||||
| Fair-return price | show 🗑
|
||||
| Excess capacity | show 🗑
|
||||
| Mutual interdependence | show 🗑
|
||||
| show | The competition for sales between the products of one industry and the products of another industry.
🗑
|
||||
| show | The competition that domestic firms encounter from the products and services of foreign producers.
🗑
|
||||
| Game theory | show 🗑
|
||||
| show | Firms act together to fix prices, divide a market, or otherwise restrict competition.
🗑
|
||||
| Kinked-demand curve | show 🗑
|
||||
| show | One firm lowers its price below its rivals', in hopes to increase sales and revenue at its rivals' expense. Price war stops when decreases cease.
🗑
|
||||
| Cartel | show 🗑
|
||||
| show | An informal method that firms in an oligopoly may employ to set the price of their product. One firm (leader) is the first to announce a change in price, and the other firms soon announce identical or similar changes.
🗑
|
Review the information in the table. When you are ready to quiz yourself you can hide individual columns or the entire table. Then you can click on the empty cells to reveal the answer. Try to recall what will be displayed before clicking the empty cell.
To hide a column, click on the column name.
To hide the entire table, click on the "Hide All" button.
You may also shuffle the rows of the table by clicking on the "Shuffle" button.
Or sort by any of the columns using the down arrow next to any column heading.
If you know all the data on any row, you can temporarily remove it by tapping the trash can to the right of the row.
To hide a column, click on the column name.
To hide the entire table, click on the "Hide All" button.
You may also shuffle the rows of the table by clicking on the "Shuffle" button.
Or sort by any of the columns using the down arrow next to any column heading.
If you know all the data on any row, you can temporarily remove it by tapping the trash can to the right of the row.
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.
Normal Size Small Size show me how
Normal Size Small Size show me how
Created by:
zachary_morlock
Popular Economics sets