Match to the correct word or words.
Part 2 Matching (20%)
Fill in the blank with the appropriate word or words from the list below:
21. _____________________Want-satisfying ability.
22. _____________________The ability to produce a good or service at lower opportunity cost than others.
23. _____________________¬The change in total revenue of the firm that results from the sale of one additional unit of its product.
24. _____________________Positive net earnings, in the accountant's sense, minus the opportunity costs of capital and of any other inputs supplied by the firms owners. Explicit and implicit revenue minus external and internal costs.
25. _____________________Passed in 1930, this legislation established some of the highest tariffs in United States history. Its objective was to reduce imports and stimulate the domestic economy.
26. _____________________The highest value alternative that must be sacrificed as a result of choosing among alternatives. The benefits foregone by undertaking a particular activity.
27. _____________________The scientific study of what is and how the economy works.
28. _____________________A market dominated by a few sellers at least several of which are large enough relative to the total market to be able to influence the market price (interrelationships must be considered in business decisions).
29. _____________________A firm or individual who takes the market price determined by market supply and demand as giving.
30. _____________________The tax rates increase as a person's income increases.
Accelerator, Aggregate demand, Aggregate supply, Allocative efficiency, APC, APS, Balanced budget multiplier, Benefits-received principle, Budget deficit, Built-in stabilizers, Capital, Capital gains, Ceteris Paribus, Classical economics, Closed shop, Command economy, Comparative advantage, Complimentary good, Consumer sovereignty, Cost-push, Cyclical unemployment, Deflationary gap, Demand pull, Demand schedule, Depreciation, Derived demand, Discount rate, Discretionary fiscal policy, Dollar votes, Dumping, Durable good, Economic cost, Economic growth, Economic profit, Economic rent, Elastic, Excess reserves, Exclusion principle, Externality, Federal Reserve, Fiat money, Fiscal drag, Fiscal policy, Frictional unemployment, Full employment, Full production, Functional finance, G.N.P., Human capital, Indifference curve, Inelastic, Inflation, Inflationary gap, Infrastructure, Inverse relationship, Investment, Invisible hand, Keynes, Keynesian economics, Laffer curve, Laissez faire, Law of diminishing marginal utility, Leakage, Liquidity, Long run, MPC, MPS, Macroeconomics, Malthus, Marx, Marginal Cost, Marginal Revenue, Marginal utility, Market, Medium of exchange, Microeconomic, Monopoly, Monopsony, Monetarism, Money, Multiplier, NI, NDP, Nondurable good, Normal good, Normal profit, Normative economics, Oligopoly, Oligopsony, Open shop, Opportunity Cost, Paradox of thrift, Positive economics, Poverty rate, Price ceiling, Price floor, Price maker, Price taker, Private good, Productivity, Profit, Progressive tax, Proportional tax, Real income, Recessionary gap, Regressive tax, Ricardo, Say's Law, Sherman Act, Short run, Smith, Smoot-Hawley Tariff Act, Taft-Hartley Act, Stagflation, Structural unemployment, Tariff, Trade deficit, Turnover tax, Union shop, Unitary elasticity, Utility, VAT, Veblen, Vertical combination, Wagner Act
21. ________Utility_______Want-satisfying ability.
22. _____Comparative advantage_____The ability to produce a good or service at lower opportunity cost than others.
This is the basis for free trade under Ricardian theory.
23. _______Marginal Revenue_____The change in total revenue of the firm that results from the sale of one additional unit of its product.
Firms maximize profits by setting marginal cost equal to marginal ...
Fill in the blank with explanations