- Module D .1: The accompanying table shows Samanthas preferences for consumption ...
- Module D .2: On the left diagram in panel (a) of Figure D.4, draw a point B anyw...
- Module D .3: Lucinda and Kyle each consume 3 comic books and 6 video games. Luci...
- Module D .4: If the quantity of good X is measured on the horizontal axis and th...
- Module D .5: If the quantity of good X is again measured on the horizontal axis ...
Solutions for Chapter Module D : Indifference Curves and Consumer Choice
Full solutions for Krugman's Economics for AP® (High School) | 2nd Edition
the tendency for the mix of unobserved attributes to become undesirable from the standpoint of an uninformed party
goods that are excludable but not rival in consumption
two goods for which an increase in the price of one leads to a decrease in the demand for the other
a study that compares the costs and benefits to society of providing a public good
cross-price elasticity of demand
a measure of how much the quantity demanded of one good responds to a change in the price of another good, computed as the percentage change in quantity demanded of the first good divided by the percentage change in price of the second good
a strategy that is best for a player in a game regardless of the strategies chosen by the other players
total revenue minus total cost, including both explicit and implicit costs
costs that do not vary with the quantity of output produced
a curve that shows consumption bundles that give the consumer the same level of satisfaction
spending on capital equipment, inventories, and structures, including household purchases of new housing
the ratio of assets to bank capital
the political philosophy according to which the government should choose policies deemed just, as evaluated by an impartial observer behind a “veil of ignorance”
the ease with which an asset can be converted into the economy’s medium of exchange
the increase in total cost that arises from an extra unit of production
price elasticity of demand
a measure of how much the quantity demanded of a good responds to a change in the price of that good, computed as the percentage change in quantity demanded divided by the percentage change in price
a tax for which highincome taxpayers pay a smaller fraction of their income than do low-income taxpayers
the number of percentage points of annual output lost in the process of reducing inflation by 1 percentage point
a graph of the relationship between the price of a good and the quantity supplied
Tragedy of the Commons
a parable that illustrates why common resources are used more than is desirable from the standpoint of society as a whole
costs that vary with the quantity of output produced