ECON 1110 students: Here are 10 concepts that, if fully understood, will put you in position to answer all the questions on the exam on Thursday. I will go over these concepts at the help session. Of the 10, I think the tenth is the most important for Thursday and the rest of your life. Good luck on the exam. Rich Burkhauser T EN C ONCEPTS THAT W ILL BE T ESTED ON THE F IRST E XAM 1. Production Possibility curves (How are they created? What do they represent?) 2. Comparative Advantage (How do we determine gains from trade? How do you know that trade improves the well-being of both parties?) 3. Opportunity Costs (the ultimate cost of doing something is not being able to do something else. How is this measured?) 4. Demand and Supply Curves (What is the difference between a movement along a demand or supply curve and a change in demand or supply (i.e., a shift in those curves)? What is equilibrium? And how is it obtained? Be sure you can fully discuss how any change I can think of in a given market will change the equilibrium
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