×
Log in to StudySoup
Get Full Access to Business - Textbook Survival Guide
Join StudySoup for FREE
Get Full Access to Business - Textbook Survival Guide

Already have an account? Login here
×
Reset your password

Solutions for Chapter D: The Expenditure-Output Model

Principles of Economics | 2nd Edition | ISBN: 9781947172364 | Authors: Steven A. Greenlaw, David Shapiro, Timothy Taylor

Full solutions for Principles of Economics | 2nd Edition

ISBN: 9781947172364

Principles of Economics | 2nd Edition | ISBN: 9781947172364 | Authors: Steven A. Greenlaw, David Shapiro, Timothy Taylor

Solutions for Chapter D: The Expenditure-Output Model

Solutions for Chapter D
4 5 0 243 Reviews
12
4
Textbook: Principles of Economics
Edition: 2
Author: Steven A. Greenlaw, David Shapiro, Timothy Taylor
ISBN: 9781947172364

This textbook survival guide was created for the textbook: Principles of Economics, edition: 2. This expansive textbook survival guide covers the following chapters and their solutions. Principles of Economics was written by and is associated to the ISBN: 9781947172364. Since 27 problems in chapter D: The Expenditure-Output Model have been answered, more than 16256 students have viewed full step-by-step solutions from this chapter. Chapter D: The Expenditure-Output Model includes 27 full step-by-step solutions.

Key Business Terms and definitions covered in this textbook
  • agent

    a person who is performing an act for another person, called the principal

  • budget constraint

    the limit on the consumption bundles that a consumer can afford

  • budget surplus

    an excess of tax revenue over government spending

  • Coase theorem

    the proposition that if private parties can bargain without cost over the allocation of resources, they can solve the problem of externalities on their own

  • complements

    two goods for which an increase in the price of one leads to a decrease in the demand for the other

  • consumer surplus

    the amount a buyer is willing to pay for a good minus the amount the buyer actually pays for it

  • corrective tax

    a tax designed to induce private decision makers to take account of the social costs that arise from a negative externality

  • demand curve

    a graph of the relationship between the price of a good and the quantity demanded

  • economic profit

    total revenue minus total cost, including both explicit and implicit costs

  • equilibrium price

    the price that balances quantity supplied and quantity demanded

  • marginal cost

    the increase in total cost that arises from an extra unit of production

  • Nash equilibrium

    a situation in which economic actors interacting with one another each choose their best strategy given the strategies that all the other actors have chosen

  • perfect complements

    two goods with right-angle indifference curves

  • political economy

    the study of government using the analytic methods of economics

  • property rights

    the ability of an individual to own and exercise control over scarce resources

  • purchasing-power parity

    a theory of exchange rates whereby a unit of any given currency should be able to buy the same quantity of goods in all countries

  • risk aversion

    a dislike of uncertainty

  • supply curve

    a graph of the relationship between the price of a good and the quantity supplied

  • trade deficit

    an excess of imports over exports

  • transaction costs

    the costs that parties incur in the process of agreeing to and following through on a bargain