Chapter 5
When someone considers the total amount of happiness they have in their lives, Economists refer to it as this.
What is total utility or utility?
As a diabetic, my demand for insulin is relatively this.
What is inelastic?
When quantity is equal to zero, the total cost is the same as this.
If I want to solve for my profit, I can find the difference between these two things.
What are total revenue and total cost?
The area above the price, but below the demand curve.
What is consumer surplus?
Inferior or normal, I wonder. Luckily, this topic will allow me to figure it out.
What is income elasticity?
I am wondering how productive hiring another worker would be. Economists have a term for this.
What is the marginal physical product?
Economic costs are composed of these two things.
What are implicit and explicit costs?
In my cart, I have two boxes of chee-zits. I am currently trying to decide the benefit of obtaining one more. In other words, I am calculating this.
What is marginal utility?
The sign matters in these two examples of elasticity.
What are cross-price and income elasticity?
To find the averages of fixed, variable, and total, merely divide by this.
What is the quantity?
DAILY DOUBLE
The short-run supply curve exists on this curve.
What is Marginal Cost?
Differences among prices for airfare, amusement parks, and car sales are examples of this shifty, business practice.
What is price discrimination?
What is a 1% change in income?
Average variable cost asymptotically approaches this.
What is Average Total Cost?
Its time to shut down when price falls below this.
What is average variable cost?
It is possible for someone to have exactly $0 of Consumer Surplus if these two things are equal.
What is the actual price and the price willing to be paid?
This topic looks at the price of one good compared to the quantity of another.
What is cross-price elasticity?
A kitchen made to only carry 30 workers has 100 packed into it. An economist would use this law to explain what is happening.
What is the Law of Diminishing Marginal Product?
What is P = MC (or MR = MC)?