- Section 10 .1: Consider the data about the cost of each year of college in the tab...
- Section 10 .2: Comparing accounting profit to economic profit, accounting profit c...
- Section 10 .3: Which kind of profit is just enough to keep a firm operating in the...
- Section 10 .4: Refer to the cost data in the table below to answer Question 4. Qua...
- Section 10 .5: Assume a perfectly competitive firm is producing at a level of outp...
- Section 10 .6: When a firm is producing where marginal cost is equal to marginal r...
- Section 10 .7: A fixed input a. never changes. b. is a long-run phenomenon. c. doe...
- Section 10 .8: If marginal product is positive and declining as more workers are h...
- Section 10 .9: Diminishing marginal returns always involve a. too much plant capac...
- Section 10 .10: If marginal cost is positive and rising as more output is produced,...
- Section 10 .11: Marginal cost rises due to a. diminishing marginal returns. b. incr...
- Section 10 .12: The relationship between the marginal cost curve and the average co...
- Section 10 .13: In the short-run, as output increases, average fixed cost a. remain...
- Section 10 .14: If at the current level of output of 200 units, average variable co...
- Section 10 .15: If labor is the only variable input and the wage rate is constant, ...
- Section 10 .16: The spreading effect causes the average total cost curve to a. rise...
- Section 10 .17: If marginal cost is rising and lies above average variable cost, th...
- Section 10 .18: If the average product of labor is rising as more workers are hired...
- Section 10 .19: The long-run average cost curve eventually slopes up due to a. econ...
- Section 10 .20: When a firm makes production decisions, the sunk cost should be a. ...
- Section 10 .21: Monopolistically competitive industries are characterized by a. sta...
- Section 10 .22: Compared to a monopolistically competitive industry, an oligopoly h...
- Section 10 .23: Compared to a monopoly, an oligopoly has a. a higher HerfindahlHirs...
- Section 10 .24: Diseconomies of scale can be caused by a. increasing returns to sca...
Solutions for Chapter Section 10 : Behind the Supply Curve: Profit, Production, and Costs
Full solutions for Krugman's Economics for AP® (High School) | 2nd Edition
Solutions for Chapter Section 10 : Behind the Supply Curve: Profit, Production, and CostsGet Full Solutions
average variable cost
variable cost divided by the quantity of output
the study of how society manages its scarce resources
goods produced domestically and sold abroad
costs that do not vary with the quantity of output produced
a person who receives the benefit of a good but avoids paying for it
a curve that shows consumption bundles that give the consumer the same level of satisfaction
the process by which workers find appropriate jobs given their tastes and skills
law of demand
the claim that, other things being equal, the quantity demanded of a good falls when the price of the good rises
marginal tax rate
the amount that taxes increase from an additional dollar of income
the study of how households and firms make decisions and how they interact in markets
natural rate of unemployment
the normal rate of unemployment around which the unemployment rate fluctuates
a good for which, other things being equal, an increase in income leads to an increase in demand
two goods with straight-line indifference curves
a person’s normal income
a particular “game” between two captured prisoners that illustrates why cooperation is difficult to maintain even when it is mutually beneficial
total revenue minus total cost
the tax revenue that the government has left after paying for its spending
deposits that banks have received but have not loaned out
theory of liquidity preference
Keynes’s theory that the interest rate adjusts to bring money supply and money demand into balance
government programs that supplement the incomes of the needy welfare economics the study of how the allocation of resources affects economic well-being