Indifference means that only a particular combination

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Indifference means that only a particular combination of goods are preferable to the consumer. Non-satiation means that more is always better. The consumer's preference is indicated by the Y axis. CONCEPT
Consumer Choice Theory 8
Given the graph shown here, when is the firm operating at a short run loss? CONCEPT
Shut-down Point 9 Which of the following is an intermediate good? CONCEPT
Factor Markets 10
If the market price of apples drops to $9, at which of the following will the firm be? CONCEPT
Breakeven Point 11 Steven's income decreased from $1,800 a month to $1,200 a month when he went back to school. As a result, he cut back on trips to his favorite gyro stand, from 15 to 10. What is Steven's income elasticity? .33 -1.33 -.67 1.0
CONCEPT Income Elasticity 12 Given the information in the graph shown here, at which level of production will profit be maximized? CONCEPT
Output Optimization: Total Revenue / Total Cost 13
Based on the descriptions below of different jobs Nancy has held, which would qualify as an oligopoly? Nancy was a fruit vendor. In her market there were many buyers and sellers. It was easy and cheap to start a vendor stand. Everyone’s fruits were basically identical. Nancy was an administrative assistant for an oil company with very few other sellers. Other companies had trouble getting into the fossil fuel market. All the fossil fuel companies had the same information, but they had an information advantage over the buyers. Nancy was a telemarketer for a software company with many buyers and sellers. Everyone’s products were fairly unique, but it was very easy to enter the software market. One advantage Nancy’s company had was that it had an informational advantage over many other companies. Nancy was a customer service representative for the local water company. The company had exclusive rights to operate as the only company providing water to local residents since the costs to lay competing pipelines were a barrier to entry preventing competition. They were, however, regulated by the government.

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