ECON100A_11

ECON100A_11 - Review 1 Question1 Initially the person below...

Info iconThis preview shows pages 1–10. Sign up to view the full content.

View Full Document Right Arrow Icon
 1/4/2008 1 Review
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
 1/4/2008 2 Question 1 Initially, the person below is: A. Saver B. Borrower C. Can’t Tell c 1 B A C c 2 I 1 I 2
Background image of page 2
 1/4/2008 3 Question 2  The figure depicts what happens when r. ... A. Rises B. Falls C. Can’t Tell c 1 B A C c 2 I 1 I 2
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
 1/4/2008 4 Question 3 The substitution effect causes the individual to borrow. ... A. Less B. More C. Can’t Tell c 1 B A C c 2 I 1 I 2
Background image of page 4
 1/4/2008 5 Question 4 The income effect cause the individual to borrow. ... A. Less B. More C. Can’t Tell c 1 B A C c 2 I 1 I 2
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
 1/4/2008 6 Market for Factors of Production Market for Finished Goods HOUSEHOLDS FIRMS DEMAND (for Goods $ $ $ $ SUPPLY (of Factors of Prod) CIRCULAR FLOW DIAGRAM SUPPLY (of Goods & Services)
Background image of page 6
 1/4/2008 7 Overview We learned how households choose quantity of a given commodity they will consume, given prices and income. (Quantity demanded) But goods must be produced (i.e., supplied). We have yet to see how firms choose the quantity of goods they will produce, given prices and costs. (Quantity supplied) To analyze supply, then, we study production, costs, and profit maximization This will characterize trade-offs faced by the firm Later (100B): Equilibrium price will equate quantity supplied with quantity demanded
Background image of page 7

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
 1/4/2008 8 Theory of Production
Background image of page 8
 1/4/2008 9 Production Functions Types of factors: Q- Flow of output (phys units/time)
Background image of page 9

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 10
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

Page1 / 29

ECON100A_11 - Review 1 Question1 Initially the person below...

This preview shows document pages 1 - 10. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online