The amount of a good that people are willing and able to buy.
What is quantity demanded?
100
The benefit or satisfaction that a person gets from the consumption of a good or service.
What is utility?
100
The marginal benefit from a good minus the price paid for it , summed over the quantity consumed.
What is consumer surplus?
100
The percentage change in the quantity demanded is less the percentage change in price.
What is inelastic demand
200
Ceteris Paribus
What is all things equal?
200
A good for which demand increases when income increases
What is a normal good?
200
Make the marginal utility per dollar equal for all goods.
What is the utility maximizing rule?
200
The decrease in total surplus that results from an inefficient underproduction or overproduction.
What is a deadweight loss?
200
When the quantity demanded changes by a very large percentage to response to an almost zero change in price
What is perfect elasticity?
300
The ability to perform an activity or produce a good or service at a lower opportunity cost than anyone else.
What is comparative advantage?
300
If the price of a good rises, the quantity supplied of that good increases
What is the law of supply?
300
The change in total utility that results from a one-unit increase in the quantity of a good consumed.
What is marginal utility?
300
A cost or benefit that affects someone other than the seller or buyer of a good.
What is an externality?
400
The best thing you must give up to get it.
What is opportunity cost?
400
Expected future prices
What is a factor that can move either the supply curve or demand curve?
400
The tendency for marginal utility to decrease as the quantity of a good consumed increases.
What is diminishing marginal utility?
400
A government regulation that places an upper limit on the price that a good may be sold.
What is a price ceiling?
500
Combinatons of goods and services that can be produced and combinations that cannot be produced given limited factors of production and the state of technology.
What is the Production Possibility Frontier?
500
The point where supply and demand intersect
What is the equilibrium price?
500
Unit used to measure satisfication
What is a util?
500
The condition that delivers an efficent use of resources.