The Essentials Of Microeconomics. Chap 3. Production, Revenue And Cost

Front 1

is aprocess through which resources and or other products are transformed into different products either for final use or in anotehr production process. ______ also includes services such as transportion.

Back 1

Production

Front 2

Given the current state of technology, the production function is a physical relationship beween the firm's inputs and outputs.

Example: Q=f(L,K, Labor, time...)

Back 2

Production Function

Front 3

is the maximum output from given inputs with a given level of technolgy

Back 3

Production possiblity

Front 4

Given the current state of technology, technologial efficiency is the production process that requires the least amoutn of inputs i prder to produce a particular level of output

Back 4

Technological efficiency

Front 5

the goal here is the least-cost production. For a specific rate of output, economi efficiency is the production process that utilizes the lowest per unit cost, for that rate of output. In a competitive market, firms that continue to exist must be economically effiicient. ________ is closely tied to technical efficiency.

Back 5

Economic Efficiency

Front 6

the amount of output that is produces by one unit of input, It is measured by units of output per unit of input.

Back 6

Productivity

Front 7

Cases in which the percentage increase in outputs is greater than the percentage increase of inputs used to produce that output.

Back 7

Economies of scale

Front 8

Substitution of a less productive input for more productive input

Back 8

Factor substitution

Front 9

Education of labor

Back 9

Improved quality of inputs

Front 10

Technological change in one industry results in improved ability to obtain more of all goods

Back 10

Technological Change