New User Special Price Expires in

Let's log you in.

Sign in with Facebook


Don't have a StudySoup account? Create one here!


Create a StudySoup account

Be part of our community, it's free to join!

Sign up with Facebook


Create your account
By creating an account you agree to StudySoup's terms and conditions and privacy policy

Already have a StudySoup account? Login here

Principles of Microeconomics

by: Grayce Heidenreich

Principles of Microeconomics EC 201

Marketplace > North Carolina State University > Economcs > EC 201 > Principles of Microeconomics
Grayce Heidenreich
GPA 3.84

Lee Craig

Almost Ready


These notes were just uploaded, and will be ready to view shortly.

Purchase these notes here, or revisit this page.

Either way, we'll remind you when they're ready :)

Preview These Notes for FREE

Get a free preview of these Notes, just enter your email below.

Unlock Preview
Unlock Preview

Preview these materials now for free

Why put in your email? Get access to more of this material and other relevant free materials for your school

View Preview

About this Document

Lee Craig
Class Notes
25 ?




Popular in Course

Popular in Economcs

This 5 page Class Notes was uploaded by Grayce Heidenreich on Thursday October 15, 2015. The Class Notes belongs to EC 201 at North Carolina State University taught by Lee Craig in Fall. Since its upload, it has received 5 views. For similar materials see /class/223924/ec-201-north-carolina-state-university in Economcs at North Carolina State University.


Reviews for Principles of Microeconomics


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: 10/15/15
Monday November 15 2010 Chapters Eleven and Fourteen Competition and Monopoly This Lecture is crucial for understanding the material from the final exam Perfectly Competitive Markets the demand curve for the output of a perfectly competitive firm Recall the marginal cost marginal cost the change in a firm s total cost from producing one more unit ofa good or service Not that the marginal cost is inversely related to the marginal product MCATC AQ Profit maximization Competitive firms will maximize profits or minimize losses at the level of output that corresponds with pricemarginal cost or PMC This is because if P gt MC then the market is signaling the firm to increase output On the other hand ifP lt MC then the market is signaling the firm to decrease output Calculating Profit or Loss The MCP condition only gives the profit maximizing or loss minimizing level of output It does not give us the profit or loss For that we would need our profit equation Profit Q X PATC We now have Q and P we just need ATC Perfectly Competitive Markets the demand curve for the output of a perfectly competitive firm See graphs in spiral book or textbook Showing a Profit on the graph Find graph in spiral notebook or textbook the gap between price and total cost average distance between the price at which something is sold and the average cost that it costs to make it Determining Profit Maximizing Price and Quantity EC 201 Monday November 1 2010 Chapter 10 Chapter Ten Technology Production and Costs 0 Chapters 4 6 amp 7 Exam 1 week from today 39339 Technology An Economic Definition gt Technology The processes a firm uses to turn inputs into outputs of goods and services gt Technological change A change in the ability of a firm to produce a given level of output with a given quantity of inputs THIS IS THE KEY TO EVERYTHING WE ARE GOING TO DO FOR THE NEXT FEW WEEKS Will arbitrarily turn into a monopoly and 39339 The Short Run and the Long Run in Economics gt Short Run The period of time during which at least one of a firm s inputs is xed gt Long Run The period of time in which a firm can vary all its inputs adopt a new technology and increase or decrease the size of it s physical plant Time Depends on the size of the production o Small mowing business may take a few days to double your business o Making automobiles may take a few years to double your business 39339 Production Function gt Production function The relationship between the inputs employed by a firm and the maximum output it can produce with those inputs Every production has a different production function Common feature of production function that relates to us is o The Law of Diminishing Returns 0 Law of diminishing returns Adding more of a variable input such as labor to the same amount of a fixed input such as capital will cause the marginal product of the variable input to decline 0 Q AL The change in output with respect to the change in labor SEE GRAPH IN TEXTBOOKSPIRAL NOTEBOOK O O o 00 0 O 0 O n The Marginal Product of Labor and the Average Product of Labor The graph flattens out when you get more workers the law of diminishing returns Marginal in economics typically means change The slope of the first derivative Another graph The Marginal Product of Labor and the Average Product of Labor gt Upper graph GPA for each individual semester marginal score gt Lower graph cum GPA average score Supposed to see a crucial piece of math that is that when the marginal function lies above the average function the average is increasing each score is bringing up the average We need these production functions because they are the core the cost functions The Relationship Between Production and Cost gt Fundamental relationship is gt Cost and Productivity are inversely related when productivity is going down Costs are going up and vice versa gt The Difference between Fixed Costs and Variable Co sts Total cost the cost of all the inputs a firm uses in production Fixed costs Costs that remain constant as output changes o Owe interest whether you produce 0 1 12 or 100 billion units 1112010 11800 PM 1112010 11800 PM


Buy Material

Are you sure you want to buy this material for

25 Karma

Buy Material

BOOM! Enjoy Your Free Notes!

We've added these Notes to your profile, click here to view them now.


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'

Why people love StudySoup

Bentley McCaw University of Florida

"I was shooting for a perfect 4.0 GPA this semester. Having StudySoup as a study aid was critical to helping me achieve my goal...and I nailed it!"

Amaris Trozzo George Washington University

"I made $350 in just two days after posting my first study guide."

Steve Martinelli UC Los Angeles

"There's no way I would have passed my Organic Chemistry class this semester without the notes and study guides I got from StudySoup."


"Their 'Elite Notetakers' are making over $1,200/month in sales by creating high quality content that helps their classmates in a time of need."

Become an Elite Notetaker and start selling your notes online!

Refund Policy


All subscriptions to StudySoup are paid in full at the time of subscribing. To change your credit card information or to cancel your subscription, go to "Edit Settings". All credit card information will be available there. If you should decide to cancel your subscription, it will continue to be valid until the next payment period, as all payments for the current period were made in advance. For special circumstances, please email


StudySoup has more than 1 million course-specific study resources to help students study smarter. If you’re having trouble finding what you’re looking for, our customer support team can help you find what you need! Feel free to contact them here:

Recurring Subscriptions: If you have canceled your recurring subscription on the day of renewal and have not downloaded any documents, you may request a refund by submitting an email to

Satisfaction Guarantee: If you’re not satisfied with your subscription, you can contact us for further help. Contact must be made within 3 business days of your subscription purchase and your refund request will be subject for review.

Please Note: Refunds can never be provided more than 30 days after the initial purchase date regardless of your activity on the site.