Term
|
Definition
| the quantitity of a good demanded per peorid relates inversly to its price, other things constant |
|
|
Term
|
Definition
| the quantity of a good supplied during a given time peoird is usually directly related to its price, other things constant |
|
|
Term
|
Definition
| When price changes, quantity demanded will change |
|
|
Term
|
Definition
| When price changes, quantity supplied will change |
|
|
Term
| law of diminishing marginal utility |
|
Definition
| the more of a good an individual consumes per peroid, other things constant, the smaller the marginal utility of each additonal unit consumed. |
|
|
Term
|
Definition
| the number of dollars you receive per pay peroid an example would be 36 dollars per week. |
|
|
Term
|
Definition
| to subsitute or change your choice of an item or product usually based upon its price |
|
|
Term
| change in quantity demanded |
|
Definition
| The movement along a demand curve caused by a change in the price of the good. |
|
|
Term
|
Definition
| A term used in economics to describe that there has been a change, or shift in, a market's total demand. |
|
|
Term
|
Definition
| A term used in economics to describe when the suppliers of a given good or service have altered their production or output |
|
|
Term
| change in quantity supplied |
|
Definition
| The movement along a supply curve caused by a change in the price of the good. |
|
|
Term
|
Definition
| measures how responsive quantity demanded is to a price change; the percent change in quantity demanded divded by the percent change in price |
|
|
Term
|
Definition
| a measure of the responseiveness of quantity supplied to a price change; the percent change in quantity supplied divded by the percent change in price |
|
|
Term
| law of diminishing returns |
|
Definition
| as more of a variable resoruce is added to a given amount of other resources marginal product eventually declines and could become negetive |
|
|
Term
|
Definition
| any production cost that is independent of the firms output |
|
|
Term
|
Definition
| any production cost that changes as output changes |
|
|
Term
|
Definition
| the change in total cost resulting from a one unit change in output; the change in total cost divded by the change in output |
|
|
Term
|
Definition
| the change in total revenue from selling another unit of the good |
|
|
Term
|
Definition
| forces that reduce a firms average cost as the firms size or scale increases in the long run |
|
|
Term
|
Definition
| A market structure in which the following five criteria are met:1) All firms sell an identical product;2) All firms are price takers - they cannot control the market price of their product;3) All firms have a relatively small market share;4) Buyers have complete information about the product being sold and the prices charged by each firm; and5) The industry is characterized by freedom of entry and exit.Perfect competition is sometimes referred to as "pure competition". |
|
|
Term
|
Definition
| the sole suppiler of a product with no close subsitutes |
|
|
Term
|
Definition
| a state of limited competition, in which a market is shared by a small number of producers or sellers. |
|
|
Term
|
Definition
| something that keeps a potential competitor from entering a market and gaining a market share |
|
|
Term
|
Definition
| raw material or primary agricultural product that can be bought and sold, such as copper or coffee. |
|
|
Term
|
Definition
| merger between two companies producing the same goods or services |
|
|
Term
|
Definition
| a merger involving companies that are in the chain of companies handling a single item from raw material production to retail sale. |
|
|
Term
|
Definition
| a reduction in government control over prices and firm entry in prevosuly regulated markets such as airliners and trucking |
|
|
