The demand for labor depends on the demand for the product which the labor produces. This demand for labor is referred to as ___________ demand.
What is derived demand?
100
An economist left her $100,000-a-year teaching position to work full-time in her own consulting business. In the first year, she had total revenue of $200,000 and business expenses of $150,000. The $50,000 difference is known as this.
What is economic profit?
100
The characteristic where products cannot be differentiated.
What is homogeneous?
100
This is the maximum profit point for any business firm.
What is marginal cost equals marginal revenue (MC=MR)?
100
The monopolist faces this demand curve.
What is the market demand curve?
200
If product price increases, then this will also increase.
What is marginal revenue product?
200
This cost category does not exist in the long-run.
What are fixed costs?
200
Within a perfect competitive market structure, the firm is considered to be this; which means the firm must accept the market price.
What is a price taker?
200
Video rental stores in cities illustrate this competitive market structure.
What is monopolistic?
200
In the long run, a monopolist will earn this.
What is positive economic profit?
300
If a union advertises and effectively convinces customers to buy the “union label,” then the demand for labor will be influenced in this manner.
What is increase?
300
The additional cost incurred to produce one more unit is known as this.
What is marginal cost?
300
The point where a firm’s price is below the minimum point on the average variable cost.
What is the shutdown rule?
300
Monopolistic competitive firms earn this in the long run.
What is zero economic profit?
300
For a monopoly, the marginal revenue is always less than this.
What is the price?
400
The official U.S. poverty line for a family is calculated by taking three (3) times the annual cost of this.
What is minimal diet?
400
If a company is producing at a quantity where the long-run average total cost (ATC) is decreasing, the firm has a competitive advantage because they have the advantage of this.
What is economies of scale?
400
In the short-run, if a perfectly competitive firm is producing at a price below average total cost. At this point the company’s economic profit is considered to be this condition.
What is minimizing losses? (Assuming production is at MC=MR)
400
Which market structure is described as an industry in which a group of firms formally agree to control prices and output of a product?
What is oligopoly?
400
Theater tickets that offer lower prices for children is an example of this.
What is price discrimination?
500
These items are not counted when we compare a family’s income to the poverty line.
What is in-kind transfer?
500
If the units of variable input in a production process are 1, 2, 3, 4, and 5, and the corresponding total outputs are 30, 34, 37, 39, and 40 respectively. Two (2) represents this for the fourth unit.
What is marginal product?
500
The market equilibrium sets the firm’s demand curve at the market price. The shape of the market demand curve is described as this.
What is horizontal or perfectly elastic?
500
A condition in which an action by one firm may cause a reaction from other firms.
What is mutual interdependence?
500
The NFL and MBA teams have contracts with the best players and leases for the best stadiums and arenas. The contracts and leases are examples of this monopoly characteristic.