Micro Final

Front 1

Full Employment

Back 1

When 5% or less of the labor force over 15 years of age are looking for work

Front 2

Economic Stability

Back 2

When an economy looks to avoid swings in performance

Front 3

Economic Security

Back 3

Every memeber in society should have their basic needs satisfied. Food, shelter, clothing, health, edcation, water & sanitation

Front 4

Economic Justice

Back 4

Every member in society should have equal opportunities for economic success.

Front 5

Conspicuous/Ostentatious Commodities

Back 5

Those that consumers associate due to high price to high social class. Makes them feel ahead of others socially

Front 6

Jone's Commodities

Back 6

consumed because of peer pressure, to not feel that they are socially falling behind.

Front 7

Non-Substitute/Absolute necessity goods

Back 7

Those that have no easily available alternatives, or perceived indespinsibility.

Front 8

Opportunity/Alternative Cost

Back 8

The cost of using resources for a purpose, measured by the cost of not producing an alternative good.

Front 9

Complementary

Back 9

Completes a lack in something (a bagel and cream cheese)

Front 10

Complimentary

Back 10

Given without cost (Free Hotel Breakfast)

Front 11

Oîkos

Back 11

Home

Front 12

Nomos

Back 12

Management

Front 13

Microeconomics

Back 13

Studyies the behaviors of consumers and firms, and the determination of market prices. It analyzes the scarcity of economic resources and identify their strategic uses

Front 14

Macroeconomics

Back 14

Study of the aggregate economic activity. It analyzes how the economy as a whole works, identifying national income/output levels, growth, inflation, employment, money, prices, and international trade.

Employs use of fiscal policy, monetary policy, and commercial policy.

Front 15

Taxes

Back 15

A personal or corporate fee charged by a government on a product, income, or activity; in order to generate revenue

Front 16

Subsidies

Back 16

A payment that a government makes to private producers to provide production incentives.

Front 17

The Marginal Rate of Substitution

Back 17

the max amount of commodities that a consumer is willing to give up to get one more unit of another, given the same level of satisfaction.

Front 18

The Marginal Rate of TECHNICAL Substitution

Back 18

The maximum amount of factor(input) that a producer is willing to give up to gain one more unit of another , given the same level of production.

Front 19

The Law of Diminishing Marginal Utility

Back 19

As consumption increases the added satisfaction from the last will progressively fall.

Front 20

The Law of Diminishing Returns

Back 20

As Quantity of L increases with T and K renaming the consent, the added production from the last unit will progressively fall.

Front 21

Overproduction Quota System

Back 21

It is used to help producers by the government imposes a binding price floor, therefore the quantity the producers are capable of producing are greater than the quantity demanded from the consumers. Then the government has to, warehouse, destroy, dump, or donate the overproduction. Euro System. US no like because makes us look bad when it’s dumped as aid

Front 22

Marginal Utility

Back 22

Referes to the increase or decrease in satisfaction an individual derives from use or consumption of one additional unit or less of a commodity

Front 23

Marginal Product

Back 23

Additional output produced of one aditional unit of a resource is employed while the quantity of all other resources remain constant

Front 24

Marginal Cost

Back 24

Equals the change in total cost divided by the change in total quantity.

Front 25

Marginal Revenue

Back 25

The change in total revenue divided by the change in total quantity

Front 26

Economies of Scale/Increase returns to scale

Back 26

These are the forces that cause ATC's to go down as output goes up.

Front 27

Diseconomies of Scale

Back 27

These are the economic forces that cause ATC's to go up as output increases.

Front 28

Minimum Efficient Scale/Constant returns to scale

Back 28

Refers to the period when ATC's remain at a minimum point regardless if the levels of input or output decrease

Front 29

Market

Back 29

A place or situation where buyers and sellers are brought together for the exchange of commodities, inputs, and or financial assets!

Front 30

Types of Markets

Back 30

Perfect Competition, Monopolic, imperfect competition

Front 31

Perfect Competition

Back 31

1) Many firms and buyers
2) The product is homogeneous
3) Mobility of resources in the market
4) Little or no participation in the market by sellers and/or consumers so as no influence felt over prices
5) There is complete knowledge of the market by buyers and sellers

Front 32

Pure Competition

Back 32

1) Many firms and buyers
2) The product is homogeneous
3) There is NO complete knowledge of the market by buyers & sellers
4) Mobility of resources in the market
5) Little or no participation in the market by sellers and/or consumers so as no influence felt over prices

Front 33

Monopolistic Competition

Back 33

1) Many firms and buyers
2) The product is DIFFERENTIATED
3) There is NO complete knowledge of the market by buyers & sellers
4) Mobility of resources in the market
5) Little or no participation in the market by sellers and/or consumers so as no influence felt over prices

Front 34

Oligopolic market

Back 34

a type of market with few mutually interdependent firms (sellers) and many buyers (consumers)

Front 35

Cooperative Solution Theory

Back 35

Overt Collusion, Covert Collusion, Tacit Collusion

Front 36

Compettive Behavior Theory

Back 36

Actual Competition, Covert Cheating, Creative-destruction theory, Predatory Pricing, Brand Proliferation

Front 37

Duopoly

Back 37

A market dominated by two major sellers or suppliers

Front 38

Monopsony

Back 38

A market with many suppliers, but only one major buyer.

Front 39

Oligopsony

Back 39

A market with manny suppliers, but only a few buyers.