Term
|
Definition
| Manny sellers and buyers, homogenous good, relevant information, easy entry and exit |
|
|
Term
|
Definition
| Profit is maximized by producing the quantity of output at which MR(P*Q)=MC |
|
|
Term
| Resource Allocative Effective |
|
Definition
| When firms produce the quantity of output at which price equals marginal cost: P=MC |
|
|
Term
|
Definition
| The situation that exists when a firm produces its output at the lowest possible unit cost ( lowest ATC) |
|
|
Term
|
Definition
| There is one seller, one unique product, Extremely high barriers to entry |
|
|
Term
|
Definition
| a seller has the ability to control to some degree the price of the product it sells |
|
|
Term
| Deadweight Loss of Monopoly |
|
Definition
| the difference between the monopoly quantity of output and the competitive quantity of output. |
|
|
Term
|
Definition
| Actions of individuals and groups who spend resources to influence public policy |
|
|
Term
| Perfect price Discrimination: |
|
Definition
| Occurs when the seller charges the highest price each consumer would be willing to pay for the product rather than go without |
|
|
Term
| Second-Degree Price Discrimination |
|
Definition
| Occurs when the seller charges a uniform price per unit for one specific quantity a lower price for an additional quantity. |
|
|
Term
| Third- degree Price discrimination |
|
Definition
| when the seller charges different prices in different markets or charges a different price to different segments of the buyers |
|
|
Term
|
Definition
| Many sellers and buyers, Slightly different products, easy entry and exsit. |
|
|
Term
|
Definition
| Few sellers, many buyers, both the same and different products, significant barriers to entry |
|
|
Term
|
Definition
| An organization of firms that reduces the output and increases price in an effort to increase joint profit |
|
|
Term
|
Definition
|
|
Term
| In-Kind Transfer Payments |
|
Definition
| Transfer payments, such as food stamps, medical assistance, and subsidized housing that are made in a specific good or service rather than in cash. |
|
|
Term
|
Definition
| The imaginary veil or curtain behind which a person does not know his or her position in the income distribution |
|
|
