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

Solutions for Chapter 3: Interdependence and the Gains from Trade

Principles of Macroeconomics | 6th Edition | ISBN: 9780538453066 | Authors: N. Gregory Mankiw

Full solutions for Principles of Macroeconomics | 6th Edition

ISBN: 9780538453066

Principles of Macroeconomics | 6th Edition | ISBN: 9780538453066 | Authors: N. Gregory Mankiw

Solutions for Chapter 3: Interdependence and the Gains from Trade

Since 11 problems in chapter 3: Interdependence and the Gains from Trade have been answered, more than 2505 students have viewed full step-by-step solutions from this chapter. Chapter 3: Interdependence and the Gains from Trade includes 11 full step-by-step solutions. Principles of Macroeconomics was written by and is associated to the ISBN: 9780538453066. This expansive textbook survival guide covers the following chapters and their solutions. This textbook survival guide was created for the textbook: Principles of Macroeconomics, edition: 6.

Key Business Terms and definitions covered in this textbook
  • average fixed cost

    fixed cost divided by the quantity of output

  • compensating differential

    a difference in wages that arises to offset the nonmonetary characteristics of different jobs

  • constant returns to scale

    The property whereby long-run average total cost stays the same as the quantity of output changes

  • consumption

    spending by households on goods and services, with the exception of purchases of new housing

  • diminishing marginal product

    the property whereby the marginal product of an input declines as the quantity of the input increases

  • diminishing marginal product

    the property whereby the marginal product of an input declines as the quantity of the input increases

  • diseconomies of scale

    the property whereby long-run average total cost rises as the quantity of output increases

  • equilibrium price

    the price that balances quantity supplied and quantity demanded

  • Giffen good

    a good for which an increase in the price raises the quantity demanded

  • incentive

    something that induces a person to act

  • indifference curve

    a curve that shows consumption bundles that give the consumer the same level of satisfaction

  • macroeconomics

    the study of economy-wide phenomena, including inflation, unemployment, and economic growth

  • marginal cost

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

  • market

    a group of buyers and sellers of a particular good or service

  • maximin criterion

    the claim that the government should aim to maximize the well-being of the worst-off person in society

  • moral hazard

    the tendency of a person who is imperfectly monitored to engage in dishonest or otherwise undesirable behavior

  • progressive tax

    a tax for which highincome taxpayers pay a larger fraction of their income than do low-income taxpayers

  • real interest rate

    the interest rate corrected for the effects of inflation

  • shortage

    a situation in which quantity demanded is greater than quantity supplied

  • velocity of money

    the rate at which money changes hands

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