Popular in Principles of economics: microeconomics
Popular in Economcs
This 1 page Class Notes was uploaded by Kirstie Mekhail on Monday February 8, 2016. The Class Notes belongs to ECO 106 at Pace University taught by Weinstock in Summer 2015. Since its upload, it has received 7 views. For similar materials see Principles of economics: microeconomics in Economcs at Pace University.
Reviews for Chapter 2
Report this Material
What is Karma?
Karma is the currency of StudySoup.
You can buy or earn more Karma at anytime and redeem it for class notes, study guides, flashcards, and more!
Date Created: 02/08/16
Chapter 2 Principle of Opportunity Cost – the opportunity cost of something is what you sacrifice to get it Opportunity Cost – what you sacrifice to get something Neuroplasticity – you can shape how your own brain develops by exposing it to things you don’t know now that you want to teach it Production Possibilities Curve – curve that shows the possible combinations of products that an economy can produce, given that its productive resources are fully employed and efficiently used Marginal Benefit – the additional benefit resulting from a small increase in some activity Marginal Cost – the additional cost resulting from a small increase in some activity Marginal Principle Net Benefit = Total Benefit – Total Cost Principle of Voluntary Exchange – is the act of buyers and sellers freely and willingly engaging in market transactions. Moreover, transactions are made in such a way that both the buyer and the seller are better off after the exchange than before it occurred. Principle of Diminishing Returns – suppose output is produced with two or more inputs, and we increase one input while holding the other inputs fixed. Output will increase at a decreasing rate.
Are you sure you want to buy this material for
You're already Subscribed!
Looks like you've already subscribed to StudySoup, you won't need to purchase another subscription to get this material. To access this material simply click 'View Full Document'