Term
|
Definition
| the ability to produce a good with fewer resources than other producers |
|
|
Term
|
Definition
| involves choosing the most valuable mix of outputs to produce |
|
|
Term
|
Definition
| public policies designed to limit the abuse of market power by monopolies |
|
|
Term
|
Definition
| when currency buys more of other currencies makes imports cheaper and exports more expensive |
|
|
Term
|
Definition
| when one person has access to more information than another on a subject of mutual interest |
|
|
Term
|
Definition
| per-unit cost;total cost divided by the quantity of output; also called average total cost |
|
|
Term
|
Definition
| total quantity of output divided total quantity of labor |
|
|
Term
|
Definition
| variable cost per unit; total variable cost divided by the quantity of output. |
|
|
Term
| balance of payments accounts |
|
Definition
| measure of a country's economic interactions with other countries. |
|
|
Term
|
Definition
| the monetary value of exported goods minus the monetary value of imported goods. |
|
|
Term
|
Definition
| when investors or entrepreneurs find obstacles to joining a profitable industry. |
|
|
Term
|
Definition
| the exchange of goods and services directly for one another, without the use of money. |
|
|
Term
|
Definition
| labor market with a monopoly buyer (employer) and monopoly seller (union) of labor services. |
|
|
Term
|
Definition
| market in which goods are bought and sold illegally; associated with price controlls. |
|
|
Term
|
Definition
| a sum of money transferred from the federal government to states that is designated for a particular type of spending, but where the exact programs are not specified. |
|
|
Term
|
Definition
| a legally binding promise to repay borrowed funds with interest at a specified future date. |
|
|
Term
|
Definition
| occurs when economic profit is zero. |
|
|
Term
|
Definition
| in the context of voting, occurs when voters must take the whole package, including elements they don't want; candidates represent bundled goods. |
|
|
Term
|
Definition
| records the monetary value of capital inflows from other countries (foreign investment int he United States), and outflows to other coutnries (U.S. investment abroad). |
|
|
Term
|
Definition
| anything that is produced in order to increase productivity in the future; includes human capital and physical capital. |
|
|
Term
|
Definition
| occurs when firms collude to eliminate competition among themselves and obtain greater profit. |
|
|
Term
|
Definition
| holding all else constant. |
|
|
Term
|
Definition
| a model of the economy that depicts how the flow of money facilitates a counterflow of resources, goods, and services in the input and output markets. |
|
|
Term
|
Definition
| theory that holds parties to an externality would voluntarily negotiate an efficient outcome without government involnement when property rights are clearly defined |
|
|
Term
|
Definition
| negotiations between an employer and a labor union |
|
|
Term
|
Definition
| government decrees that direct economic activity |
|
|
Term
|
Definition
| a jointly owned resource such as groundwater; people have little incentive to conserve common propert resources, but rather seek to capture them for their own private use |
|
|
Term
|
Definition
| the ability to produce a good at a lower opportunity cost (other goods forgone) than others could do |
|
|
Term
| compensating wage differentials |
|
Definition
| additional pay offered by employers to offset undesirable job characteristics |
|
|
Term
|
Definition
| goods and services that go well with each other, such as cream with coffee |
|
|
Term
|
Definition
| when adding an additional consumer of a public good detracts from its value to other consumers |
|
|
