MANECON-FINALS
Subdecks (2)
Cards (105)
- as the price of a good increases, the quantity supplied increases
- supply refers to the ___
- published the "Economics of Industry"
- A supply curve is always __ sloping and reflect a _ correlation between quantity supplied and price
- what will happen if the supply curve shifts to the right?
- What will happen if the supply curve shifts to the left?
- What will happen if there is a rightward movement shift ALONG, ON, WITHIN the supply curve?
- What will happen if there is a leftward movement shift ALONG, ON, WITHIN the supply curve?
- arises when a volume of product or service in a marketplace has been maximized.
- in a free market, there will be a single price that brings demand and supply into balance, also called the "Market Clearing Price"
- if the price exceeds the equilibrium price
- if the price is below the equilibrium price
- it prevents a price from falling below a certain level. legally mandated minimum price
- it prevents a price from rising above a certain level. Legally mandated maximum price
- if the demand increases, what will happen to EP and QS?
- if the demand decreases, what will happen to EP and QS?
- if the supply increases, what will happen to EP and QD?
- if the supply decreases, what will happen to EP and QD?
- they can increase the output without a significant cost or delay
- suppliers are very unresponsive to the increase of price
- when the percentage change in QS is equal to the percentage change in Price
- increase in the demand can be met without change in price
- the supply is fixed and cannot respond to a change in demand
- Assume that an apartment rents for Php 650 per month and, at that price, 10,000 units are rented. When the price increases to Php 700 monthly, 13,000 units are supplied into the market. By what percentage does apartment supply increase? What is the price elasticity
- the transformation of resources (or inputs) into commodities (or outputs)
- _ are economic resources that can be used to produce goods and services, while _ are the outcomes of the production process
- refers to the period of time over which the amount of some inputs, ‘fixed inputs’ ‘variable inputs’ – production is constant
- refers as the time period during which all factors of production can be varied. All the factors are variable in the __
- a direct payment with monetary value made while running a business. (e.g., Salaries, Rent, Utilities, Raw Materials, Taxes)
- a.k.a. Economic Costs are costs equal to what a firm must give up to achieve something in return. These are not recorded, nor do they have a specific reciprocal when used.
- costs directly involved in developing, manufacturing, or releasing products to market
- costs that are not directly related to a specific cost object like a function, product, or department. They are costs that are needed for the sake of the company’s operations and health
- Occurs when a firm has an economic profit less than zero. This is where the firm is not earning enough to cover opportunity costs; resources could have higher returns somewhere els
- This means that the firm can also cover more than its opportunity cost
- Revenue minus all explicit and implicit costs results in a breakeven.
- minimum profit necessary to keep a firm in operation
- ceteris paribus, if one factor of production is increased while other factors are held constant, the marginal output per unit will eventually diminish
- Curves that represent different combinations of the two variable inputs that can produce the same level of output. It represents a specific level of output
- measures the rate at which one input can be substituted for the other while keeping output constant. It is the slope of the isoquant curve and represents the trade-off between the two inputs.
- "Iso" means _; "Quant" is short for _